An entity shall recognize revenue under IFRS 15 when (or as) it satisfies a performance obligation by transferring a promised good or service (an asset) to a customer. The transfer occurs when the customer obtains control of that good or service.

The recognition of revenue occurs either over time or at a point in time:

1. Over Time: An entity satisfies a performance obligation and recognizes revenue over time if any of the following criteria are met:

• • The customer simultaneously receives and consumes the benefits provided by the entity as the entity performs.
  • The entity’s performance creates or enhances an asset that the customer controls as the asset is created or enhanced.
  • The entity’s performance does not create an asset with an alternative use to the entity, and the entity has an enforceable right to payment for performance completed to date.

1. At a Point in Time: If a performance obligation doesn’t meet the criteria for revenue recognition over time, it's satisfied at a point in time. The point in time at which a customer obtains control of a promised asset (and an entity therefore satisfies a performance obligation) is determined by considering indicators such as the entity having a present right to payment, the customer having legal title to the asset, the entity having transferred physical possession of the asset, the customer having the significant risks and rewards of ownership, and the customer having accepted the asset.

These conditions ensure that the revenue recognized depicts the transfer of control of goods or services to customers in an amount reflecting the consideration to which the entity expects to be entitled in exchange for those goods or services.