IFRS 15 (International Financial Reporting Standards 15)

IFRS 15 is an accounting standard that guides companies on how to recognize revenue from contracts with customers. It ensures revenue is reported consistently and accurately by requiring companies to identify each contract’s goods or services, determine the transaction price, and recognize revenue when control of those goods or services transfers to the customer. The goal is to reflect the timing and amount of revenue earned, providing clearer financial information for stakeholders. This standard applies across industries and emphasizes the importance of matching revenue with the delivery of value to customers.