When unpaid interest has accrued before the acquisition of an interest-bearing investment, the subsequent receipt of interest is allocated between pre-acquisition and post-acquisition periods; only the post-acquisition portion is recognised as revenue.

Royalties accrue in accordance with the terms of the relevant agreement and are usually recognised on that basis unless, having regard to the substance of the agreement, it is more appropriate to recognise revenue on some other systematic and rational basis.

Revenue is recognised only when it is probable that the economic benefits associated with the transaction will flow to the entity. However, when an uncertainty arises about the collectibility of an amount already included in revenue, the uncollectible amount, or the amount in respect of which recovery has ceased to be probable, is recognised as an expense, rather than as an adjustment of the amount of revenue originally recognised.


              An entity shall disclose:

the accounting policies adopted for the recognition of revenue,

including the methods adopted to determine the stage of completion

of transactions involving the rendering of services;

the amount of each significant category of revenue recognised

during the period, including revenue arising from:

the sale of goods;

the rendering of services;



dividends; and

          the amount of revenue arising from exchanges of goods or services

included in each significant category of revenue.

              An entity discloses any contingent liabilities and contingent assets in accordance

with IAS 37 Provisions, Contingent Liabilities and Contingent Assets. Contingent

liabilities and contingent assets may arise from items such as warranty costs, claims, penalties or possible losses.

Effective date

This Standard becomes operative for financial statements covering periods beginning on or after 1 January 1995.

Cost of an Investment in a Subsidiary, Jointly Controlled Entity or Associate (Amendments to IFRS 1 First-time Adoption of International Financial Reporting Standards and IAS 27 Consolidated and Separate Financial Statements), issued in May 2008, amended paragraph 32. An entity shall apply that amendment prospectively for annual periods beginning on or after 1 January 2009. Earlier application is permitted. If an entity applies the related amendments in paragraphs 4 and 38A of IAS 27 for an earlier period, it shall apply the amendment in paragraph 32 at the same time.


IFRS 11 Joint Arrangements, issued in May 2011, amended paragraph 6(b). An entity shall apply that amendment when it applies IFRS 11.

IFRS 13, issued in May 2011, amended the definition of fair value in paragraph 7. An entity shall apply that amendment when it applies IFRS 13.

IFRS 9, as amended in November 2013, amended paragraphs 6(d) and 11 and deleted paragraphs 39 and 40. An entity shall apply those amendments when it applies IFRS 9 as amended in November 2013

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