What is revenue recognition 5 step model as per ind as 115

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The revenue recognition 5 step model as per Ind AS 115 involves identifying the contract, identifying performance obligations, determining the transaction price, allocating the transaction price to the performance obligations, and recognizing revenue as the performance obligations are satisfied.

Identify the contract: Determine if there is an agreement between two or more parties that creates enforceable rights and obligations.
Identify performance obligations: Identify the distinct goods or services that the customer expects to receive.
Determine the transaction price: Determine the amount of consideration the entity expects to be entitled to in exchange for transferring the goods or services.
Allocate the transaction price: Allocate the transaction price to each performance obligation based on their relative standalone selling prices.
Recognize revenue: Recognize revenue as the entity satisfies each performance obligation.

What is revenue recognition 5 step model as per ind as 115

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