Conditional rights should be reported on the statement of financial position
A) as contract assets.
B) as receivables.
C) only once the conditions have been met.
D) as contract liabilities.

Question

Quizplus · Accepted Answer

Conditional rights are reported as contract assets on the statement of financial position because they represent a potential economic benefit to the entity that is contingent on the occurrence of a future event.

Conditional Rights Should Be Reported on the Statement of Financial