International Financial
Reporting Standards (IFRS) Notes
IFRS Notes
11108
Expected Contract Loss
ias 11-pr22
if it is probable that (1) > (2),
recognise expected loss, as an expense,
immediately
(1) total contract costs
(2) total contract revenue
U.S. GAAP
ARB 45-pr6, 11
asc 605-35-25-46
if total contract is expected to have a loss,
a provision for the entire contract loss is
made
when they become evident
under both
(1) percentage of completion method
and
(2) completed contract method