When should the government grant be recognized by an entity according to Ind AS 20?

CA Final · Financial Reporting · PYQS · November 2024
When should the government grant be recognized by an entity according to Ind AS 20?
(A) As soon as the grant is offered by the government
(B) Once the entity fulfills the conditions attached to the grant
(C) When there is reasonable assurance that the entity will comply with the conditions and receive the grants
(D) After entity has received the grants

Suggested Answer and Working Notes:

Correct Answer: Option (C)

When there is reasonable assurance that the entity will comply with the conditions and receive the grants

Topics: Ind AS 2, Ind AS 20, Ind AS 101

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