CERTYNEX IFRS ACADEMY

Following a flood in December of year 1, Verdier recognised EUR 90,000 of restoration costs as expenses of year 1. In March of year 2, a public authority notifies it of EUR 60,000 of aid for these costs; the conditions are met and the aid is receivable on notification. In which period is the aid recognised in profit or loss?

In year 1, by changing the year 1 accounts already prepared.

In year 1, because the costs compensated were incurred that year.

In year 2, the period in which the aid becomes receivable.

Spread over years 2 to 4 by default, for lack of identified future costs.