by Ekrem Duman | Jun 19, 2026 | Accounting, Revenue & Financial Instruments
⚡ TL;DRContract assets and contract liabilities are the balance-sheet items created by IFRS 15. A contract liability arises when a customer pays before you perform (deferred revenue); a contract asset arises when you perform before you have an unconditional right to...
by Ekrem Duman | Jun 19, 2026 | Accounting, Revenue & Financial Instruments
⚡ TL;DRHedge accounting under IFRS 9 lets companies match the timing of gains and losses on hedging instruments with the items they hedge, reducing artificial profit-or-loss volatility. It covers three types — fair value, cash flow, and net investment hedges — and...
by Ekrem Duman | Jun 19, 2026 | Accounting, Revenue & Financial Instruments
⚡ TL;DRThe expected credit loss (ECL) model under IFRS 9 requires entities to recognise credit losses before they occur, based on forward-looking estimates. It uses a three-stage approach for general assets and a simplified matrix for trade receivables, replacing the...
by Ekrem Duman | Jun 19, 2026 | Accounting, Revenue & Financial Instruments
⚡ TL;DRIFRS 9 governs financial instruments: how to classify and measure financial assets and liabilities, how to recognise impairment using an expected credit loss model, and how to apply hedge accounting. It replaced IAS 39 and fundamentally changed how banks and...
by Ekrem Duman | Jun 19, 2026 | Accounting, Revenue & Financial Instruments
⚡ TL;DRIFRS 15 governs revenue from contracts with customers using a single five-step model: identify the contract, identify performance obligations, determine the transaction price, allocate it to the obligations, and recognise revenue as each obligation is...
