CERTYNEX IFRS ACADEMY

In November 20X1, Médisoft incurs 22,000 of direct labour to design the configurations that will be used to operate the information system of a specifically identified hospital, with which a 4-year services contract is expected to be signed in January 20X2. The configurations will be used to provide the future services, these costs are not within the scope of any other standard and Médisoft expects to recover them (facts of the case). How should these 22,000 be treated at 31 December 20X1?

Expense them, as no contract has yet been signed at 31 December 20X1.

Recognise them as an asset as costs to fulfil a specifically anticipated contract.

Recognise them as an asset as incremental costs of obtaining the contract, like a sales commission paid on signing.

Recognise them as an asset only if the contract is signed before the reporting date, otherwise expense them until signing.