Question Our company sells goods to the wholesalers and other distributors. The individual contracts contain different Incoterms, such as as EXW or DAP. Does the recognition of revenue depend on the specific Incoterm?   Answer Incoterms are pre-defined commercial terms of sales and they relate…

Question We are a FMCG (“fast-moving consumption goods”) company and we often offer the promotional packages “buy 2 + get 1 free”. How shall we account for these offers? Can we recognize the revenue for 2 products, expenses for the same products as costs of…

Question We run a construction company and regularly sign contracts for the construction of buildings for our customers. The customers usually pay us at different points of time defined in the contracts (“milestones”). These milestones and payments usually reflect the progress towards completion and we…