The accounting treatment of single-company client loyalty programme transactions
Journal of Economic and Financial Sciences
| Field | Value | |
| Title | The accounting treatment of single-company client loyalty programme transactions | |
| Creator | Brink, Sophia | |
| Description | Client loyalty programmes have been prevalent in South Africa since the 1980s, but the popularity of these programmes has increased drastically over the past few years, with more than 100 suppliers in South Africa currently making use of them. On 1 July 2007 the IASB issued IFRIC 13 to give specific guidance to suppliers on the accounting treatment of client loyalty programme transactions. The IASB is currently compiling a new revenue standard. This single new revenue standard will replace six existing standards or interpretations, including IFRIC 13. A critical analysis of IFRIC 13 will assist the development of this new revenue standard. The main objective of the research was therefore to determine whether the guidance in IFRIC 13 regarding the accounting treatment of a single-company client loyalty programme transaction is consistent with other accounting standards and recent developments. The accounting treatment of each component of a client loyalty programme transaction with a change in estimate was considered. It was found that inconsistencies exist in the initial measurement of the fair value and how a change in accounting estimate is recognised. | |
| Publisher | AOSIS | |
| Date | 2013-10-31 | |
| Identifier | 10.4102/jef.v6i3.259 | |
| Source | Journal of Economic and Financial Sciences; Vol 6, No 3 (2013); 795–814 2312-2803 1995-7076 | |
| Language | eng | |
| Relation |
The following web links (URLs) may trigger a file download or direct you to an alternative webpage to gain access to a publication file format of the published article:
https://jefjournal.org.za/index.php/jef/article/view/259/339
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