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    Question

    A software firm enters a contract for software license,

    customization, and after-sales support. Revenue is recognized over time for customization but at a point in time for the license. Which Ind AS governs this?
    A Ind AS 16 Correct Answer Incorrect Answer
    B Ind AS 115 Correct Answer Incorrect Answer
    C Ind AS 38 Correct Answer Incorrect Answer
    D Ind AS 113 Correct Answer Incorrect Answer

    Solution

    Ind AS 115 deals with multi-element arrangements and prescribes when revenue should be recognized — over time or at a point — depending on control transfer.

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