CERTYNEX IFRS ACADEMY

In which of the following situations can an entity rebut the presumption that revenue-based amortisation is inappropriate?

The revenue generated by the asset can be forecast with great precision over its whole useful life.

The entity's main competitors amortise similar assets on the basis of the revenue they generate.

Management wants the amortisation charge to move in line with revenue, in order to stabilise the margin.

The acquired right ends as soon as the cumulative sales made through it reach an amount set in the contract.