IASB (2011)Revenue from Contracts with Customers requires revenues to be measured in terms of historical cost to improve reliability.

Question

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The IASB Revenue from Contracts with Customers standard does not require revenues to be measured in terms of historical cost. Instead, it requires revenues to be measured at the fair value of the consideration received or receivable, net of discounts and taxes. This is intended to reflect the amount of revenue that an entity expects to receive for transferring goods or services to a customer.

IASB (2011)Revenue from Contracts with Customers Requires Revenues to Be