The Accounting Standards Board (AcSB) has consulted with stakeholders about its relative priorities for Part II as per its 2017-2018 Annual Plan. As part of this consultation, the AcSB conducted a survey for stakeholders who account for revenue using Part II or Part III of the Handbook.
The results of this survey identified Section 3400, Revenue, in Part II as an area of concern, with guidance pertaining to the following topics noted as being insufficient and leading to diversity in practice:
- bill-and-hold arrangements;
- multiple-element arrangements;
- percentage of completion method;
- reporting revenue gross or net; and
- upfront non-refundable fees/payments.
This project proposes to provide additional guidance on these topics.