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FACTORS AFFECTING THE TRANSACTION PRICE
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[QUOTE="Yakub02, post: 308078, member: 94426"] [B]Refund liabilities[/B] An entity might expect to return some (or all) of the consideration received from a customer. Such consideration must be recognised as a refund liability. A refund liability is measured at the amount of consideration received (or receivable) for which the entity does not expect to be entitled. It must be updated at the end of each reporting period for changes in circumstances. The ability to estimate variable consideration does not necessarily mean that it would be included in the transaction price as there might be constraints on the estimate. Variable consideration is included in the transaction price only to the extent that it is highly probable that a significant reversal of the amount of cumulative revenue recognised will not occur when any uncertainty associated with the variable consideration is subsequently resolved. [/QUOTE]
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