IFRS 15: Revenue from Contracts with Customers
Five-step model for revenue recognition: identify the contract, identify the performance obligations, determine the transaction price, allocate to performance obligations, recognize as obligations are satisfied.
Why IFRS 15 matters
Revenue is a presumed fraud risk under CAS 240. IFRS 15 application memos for non-trivial contracts are mandatory reading for the audit.
Framework: International Financial Reporting Standards (IFRS)
IFRS are issued by the IFRS Foundation and used by Canadian publicly accountable enterprises as required by Part I of the CPA Canada Handbook. Auditors test whether the financial statements comply with IFRS as issued by the IASB.
Primary source: IFRS Foundation
Frequently asked
What is IFRS 15?
Five-step model for revenue recognition: identify the contract, identify the performance obligations, determine the transaction price, allocate to performance obligations, recognize as obligations are satisfied.
Why does IFRS 15 matter for an audit?
Revenue is a presumed fraud risk under CAS 240. IFRS 15 application memos for non-trivial contracts are mandatory reading for the audit.
Which framework does IFRS 15 belong to?
IFRS 15 falls under International Financial Reporting Standards (IFRS). IFRS are issued by the IFRS Foundation and used by Canadian publicly accountable enterprises as required by Part I of the CPA Canada Handbook. Auditors test whether the financial statements comply with IFRS as issued by the IASB.
Related standards — International Financial Reporting Standards (IFRS)
See how Auditus checks IFRS 15
Auditus.ai runs PCAOB, ISA, and CAS engagements end-to-end and cites the exact standard behind every finding — including IFRS 15.