Peninsula Clean Energy’s Post

Let's discuss today an important area of audit "UNBILLED REVENUE". It basically means Revenue which has earned but not yet billed. Let's understand it with a example suppose a Contract which is for Construction of a solar power plant consist a term that Invoice should be raised on Next month after completion of a service, So assume a contract is completed on Month of March then the invoice is to be issued on Next month i.e. April of next Financial Year. In the above case when the performance obligation is satisfied? It's on March month due this reason revenue must be recognised as per Accrual basis of accounting under unbilled revenue as on March month as per IND AS 115 based on Condition No 5th for Revenue Recognition : Revenue is to be recognised at a point of time or over the period based on the performance obligation of contract. These revenue can be seen on construction contracts Lease Contracts etc. It should be shown under Accrued Income ledger and under the heading of Trade receivable in Financial Statement.

Learn more about GASB’s focus for the last half of 2024 for government entities, from better financial reporting to asset classification.

Learn more about GASB’s focus for the last half of 2024 for government entities, from better financial reporting to asset classification.

It's all about closing those energy leaks before the new year! 🙌 Just had a powerful convo about feeling complete and met my amazing new local accountant today! Talk about perfect timing. What are you guys working on to feel whole heading into next year? Share in the comments! 👇 #thankful #growthmindset #completeness #accountant #perfecttiming #newbeginnings #newyear #selfimprovement #energy #personalgrowth

📊 Exploring Accounting Practices in the Oil and Gas Industry under IFRS! 🛢️💼 Ever wondered about the accounting practices that drive financial reporting in the dynamic world of oil and gas? 🌍 Let's take a closer look at some of the major accounting practices adopted by the industry under International Financial Reporting Standards (IFRS). 📈 1️⃣ Revenue Recognition: In the oil and gas sector, revenue recognition is a critical aspect governed by IFRS standards. Companies typically recognize revenue from the sale of oil, gas, and related products based on the stage of completion, often employing methods such as production sharing agreements or sales contracts. 2️⃣ Asset Valuation: Valuing assets such as exploration and production (E&P) properties, reserves, and infrastructure requires careful consideration under IFRS. Companies follow guidelines for asset impairment testing, fair value measurement, and depletion calculations to accurately reflect the value of their assets on the balance sheet. 3️⃣ Exploration and Development Costs: Accounting for exploration and development costs is another key area. Companies capitalize costs associated with successful exploration activities, while unsuccessful exploration costs are expensed. Development costs incurred to bring reserves into production are also capitalized. 4️⃣ Joint Arrangements: Joint ventures and production-sharing agreements are common in the oil and gas industry. Under IFRS, companies account for these joint arrangements using equity accounting or proportional consolidation, depending on their level of control and influence. 5️⃣ Asset Retirement Obligations: Oil and gas companies have significant environmental and decommissioning obligations. IFRS requires companies to recognize and measure asset retirement obligations related to the eventual decommissioning of facilities, wells, and pipelines. 6️⃣ Financial Reporting Disclosures: Transparency is paramount in financial reporting. Under IFRS, oil and gas companies must provide detailed disclosures about reserves, production volumes, pricing assumptions, risks, and uncertainties to help investors make informed decisions. By adhering to these accounting practices under IFRS, oil and gas companies can enhance transparency, comparability, and reliability in financial reporting, fostering investor confidence and trust. 📊💡 #OilAndGas #IFRS #AccountingPractices #FinancialReporting #Transparency #InvestorConfidence #Careerownershiphub #StayInformed 📚

Learn more about GASB’s focus for the last half of 2024 for government entities, from better financial reporting to asset classification.

🌟 Spotlight on Screenings! 🌟 Quick assessments of project quality across key pillars: carbon accounting, additionality, permanence, and co-benefits. 📊 Learn more about screenings in our blog: https://lnkd.in/gHX_9Va8

The long awaiting GASB pronouncement that discusses improvements to the financial reporting model was released....learn about the requirements what you need to be thinking about now in this piece co-authored by myself and my Crowe colleague Tony Boras....and of course reach out for questions and how Crowe can help!

🏛️ GASB 103 is bringing big changes to gov financial reporting. 📊 Get the scoop on the new requirements & transition in the latest blog post from REDW Audit Principal Chris Tyhurst, CPA. 🔍 #GASB #GovernmentAccounting #Audit

🏛️ GASB 103 is bringing big changes to gov financial reporting. 📊 Get the scoop on the new requirements & transition in the latest blog post from REDW Audit Principal Chris Tyhurst, CPA. 🔍 #GASB #GovernmentAccounting #Audit