Page 168 - F2 Integrated Workbook STUDENT 2019

Chapter 7

1.2 The five step process

Step 1

Identify the Contract

Step 2

Identify the separate performance Obligations

Step 3

Determine the transaction Price

Step 4

Allocate the transaction price to the performance obligations

Step 5

Recognise revenue as or when a performance
obligation is satisfied

Use the acronym COPAR to help you remember the steps.

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