On December 1, 2019, Coburn Consulting Ltd. signed a contract wilh Tavistock Inc., which obligated Coburm to provide Tavistock with 25 hours of consulting services per month from January through December of 2020 . The contract requires Tavistock to pay a total of $15,000 for these services, with payments of $1,250 due at the end of each month. Cobum has provided similar services to Tavistock in the past and has always collected its fees on a timely basis. Requirement Using IFRS and ASPE revenwe recognition stanckards as a guicde, determine how Coburn Corisulting Inc. would recognize reverive from this transaction unider both ASPE and IFRS. ASPE Step 1. The omership (or control) and benefits of the goods have been transferred to the customer, or the services have been provided to the customer. Coburn satisfy this criterla as it ASPE Step 2. The amount of revenue to be received can be reliably measured. Coburn will receive \$ per hour for consulting services provided. ASPE Step 3. It is probable that the customer wall pay for the goods or services when payment becomes due. Tavistock has always paid Coburn on a timely basis, so it is probable they will pay their bill as it comes due each month. Cobum can recognize revenue of $ each time it provides Tavistock with of consulting services. IFRS Step 1. Identify the contract with the customer, specify its terms, and evaluate the probability the customer will pay the transaction price when it becomes due. The contract between Cobum and Tavistock specifles that Cobum will provide hours of consulting per month in 2020 for a total price of & Tavistock has always paid Coburn on a timely basis, so their bill as it comes cue each month. IFRS Step 2. Identify the separate performance obligations in the contract. On December 1, 2019, Cobum Consulting Lid. signed a contract with Tavistock Inc., which obligated Coburn to provide Tavistock with 25 hours of consulting services per month from January through December of 2020 . The contract requires Tavistock to pay a total of $15,000 for these services, with payments of $1,250 due at the end of each month. Cobum has provided similar services to Tavistock in the past and has always collected its fees on a timely basis. Requirement Using IFRS and ASPE revenue recognition standards as a guide, deterrine how Coburn Consulting Inc. would recognize revenue from this transaction under both ASPE and IFRS. IFRS Step 1. Identify the contract with the customer, specify its terms, and evaluate the probability the custormer will pay the transaction price when it becomes due. The contract between Coburn and Tavistock specifies that Coburn will provide hours of consulting per month in 2020 for a total price of $ Tavistock has always paid Colurn on a timely basis, so their bill as it comes due each month. IFRS Step 2. Identify the separate performance obligations in the contract. Each hour of consulting can be considered so there are separate obligations in the contract. IFRS Step 3. Determine the transaction price. The transaction price is S IFRS Step 4. Allocate the transaclion price to the separate performance obligations in the contract. The total transaction price of $ allocated across the obligated hours yields a price per hour of $ IFRS Step 5. Recognize revenue when (or as) the business satisfies each performance obligation. Coburn can recognize revenue of \$ each time it provides Tavistock with of consulting services in 2020 . On December 1, 2019, Coburn Consulting Ltd. signed a contract wilh Tavistock Inc., which obligated Coburm to provide Tavistock with 25 hours of consulting services per month from January through December of 2020 . The contract requires Tavistock to pay a total of $15,000 for these services, with payments of $1,250 due at the end of each month. Cobum has provided similar services to Tavistock in the past and has always collected its fees on a timely basis. Requirement Using IFRS and ASPE revenwe recognition stanckards as a guicde, determine how Coburn Corisulting Inc. would recognize reverive from this transaction unider both ASPE and IFRS. ASPE Step 1. The omership (or control) and benefits of the goods have been transferred to the customer, or the services have been provided to the customer. Coburn satisfy this criterla as it ASPE Step 2. The amount of revenue to be received can be reliably measured. Coburn will receive \$ per hour for consulting services provided. ASPE Step 3. It is probable that the customer wall pay for the goods or services when payment becomes due. Tavistock has always paid Coburn on a timely basis, so it is probable they will pay their bill as it comes due each month. Cobum can recognize revenue of $ each time it provides Tavistock with of consulting services. IFRS Step 1. Identify the contract with the customer, specify its terms, and evaluate the probability the customer will pay the transaction price when it becomes due. The contract between Cobum and Tavistock specifles that Cobum will provide hours of consulting per month in 2020 for a total price of & Tavistock has always paid Coburn on a timely basis, so their bill as it comes cue each month. IFRS Step 2. Identify the separate performance obligations in the contract. On December 1, 2019, Cobum Consulting Lid. signed a contract with Tavistock Inc., which obligated Coburn to provide Tavistock with 25 hours of consulting services per month from January through December of 2020 . The contract requires Tavistock to pay a total of $15,000 for these services, with payments of $1,250 due at the end of each month. Cobum has provided similar services to Tavistock in the past and has always collected its fees on a timely basis. Requirement Using IFRS and ASPE revenue recognition standards as a guide, deterrine how Coburn Consulting Inc. would recognize revenue from this transaction under both ASPE and IFRS. IFRS Step 1. Identify the contract with the customer, specify its terms, and evaluate the probability the custormer will pay the transaction price when it becomes due. The contract between Coburn and Tavistock specifies that Coburn will provide hours of consulting per month in 2020 for a total price of $ Tavistock has always paid Colurn on a timely basis, so their bill as it comes due each month. IFRS Step 2. Identify the separate performance obligations in the contract. Each hour of consulting can be considered so there are separate obligations in the contract. IFRS Step 3. Determine the transaction price. The transaction price is S IFRS Step 4. Allocate the transaclion price to the separate performance obligations in the contract. The total transaction price of $ allocated across the obligated hours yields a price per hour of $ IFRS Step 5. Recognize revenue when (or as) the business satisfies each performance obligation. Coburn can recognize revenue of \$ each time it provides Tavistock with of consulting services in 2020