CERTYNEX IFRS ACADEMY

A consulting firm completed an engagement for Quintane in December at the agreed hourly rate; the hours are known, but the invoice of 7,350 will arrive only in January. How does Quintane present this amount at the reporting date?

As a provision, because the invoice has not been received.

As an accrual, within payables.

As a contingent liability disclosed in the notes.

Nowhere: the expense will be recognised on receipt of the invoice in January.