Cost allocation
Posted: 25 Jun 2020, 02:26
Hi everyone
If legal expenses are incurred as a result of a customer disputing an amount that they owe, and then the case is won, and the amount is paid by the customer, can those legal expenses be allocated to cos under IFRS, since they can be directly linked to an amount of revenue, or should they be allocated to g&a?
If legal expenses are incurred as a result of a customer disputing an amount that they owe, and then the case is won, and the amount is paid by the customer, can those legal expenses be allocated to cos under IFRS, since they can be directly linked to an amount of revenue, or should they be allocated to g&a?