A performance obligation is a promise to transfer a good or service that is distinct.

Name: A performance obligation is a promise to transfer a good or service that is distinct.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

A performance obligation is considered distinct if the good or service can be used on its own or with other readily available resources, and the promise to transfer it is separately identifiable from other promises in the contract.

A Performance Obligation Is a Promise to Transfer a Good