• KevonLooney@lemm.ee
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    9 months ago

    Why would you comment on something you know nothing about?

    Basic gift card revenue recognition

    Companies cannot recognize revenue upon the initial sale of a gift card because of a key revenue recognition principle that states that revenue is recognized when or as an entity satisfies a performance obligation by transferring a promised good or service to a customer.

    https://blog.leapfin.com/how-to-properly-recognize-gift-card-revenue

    • xordos@lonestarlemmy.mooo.com
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      9 months ago

      This is a good read. And also looks like it does mentioned unredeemed gc balance can be (partially) considered as breakage income? ( I don’t know anything about accounting, just want to point this out)