AASB 15 Revenue from Contracts with Customers F20-F27: Not-for-profit entities: identify a performance obligation only where the promise is sufficiently specific as to nature, cost or value, quantity and period, judged against explicit and implicit conditions

What does F20-F27 require?

Promises in a not-for-profit arrangement are performance obligations only where they are specific enough for the entity to judge when the obligation has been met, weighing the kind of goods or services, their cost or value, their quantity and the period over which they must be transferred, read with any explicit or implicit conditions in the agreement. A promise to deliver unspecified goods or services over a period, to act consistently with the entity's purpose, or a single-purpose charter alone does not meet the test, although funding tied to a specified activity for a specified period may; an acquittal process does not itself create a performance obligation. Where funding is for acquiring or building a non-financial asset the entity will control, AASB 1058 governs that element.