Under IAS 18, when it is probable that the economic benefits of interest, royalties, and dividends will flow to the enterprise and can be measured reliably, how should revenue be recognized?

Question

Quizplus · Accepted Answer

According to IAS 18, interest income should be recognized based on an effective yield basis, royalties should be recognized on an accrual basis with reference to the terms of the agreement, and dividends should be recognized when the shareholders' right to receive payment is established. Therefore, all of the options mentioned in the question govern revenue recognition under these circumstances.

Under IAS 18, When It Is Probable That the Economic