IFRS 15 provides specific guidance on how to account for non-cash consideration in a contract. If a customer promises consideration in a form other than cash, an entity shall measure the non-cash consideration (or promise of such) at fair value. If an entity cannot reasonably estimate the fair value of the non-cash consideration, it should measure the consideration indirectly by reference to the standalone selling price of the goods or services promised to the customer.

Here are some points to consider:

1. Variability in non-cash consideration: If the fair value of the non-cash consideration promised by a customer varies for reasons other than only the form of the consideration (e.g., due to the entity's performance), the entity would consider such variability when estimating the transaction price.
2. Non-cash consideration contributed by a customer: If a customer contributes goods or services (for example, materials, equipment, or labor) to facilitate an entity's fulfillment of the contract, the entity would assess whether it obtains control of those contributed goods or services. If so, the entity would account for the contributed goods or services as non-cash consideration received from the customer.

Example:

Suppose an entity enters into a contract with a customer to provide consulting services. The customer provides the entity with a piece of machinery (instead of cash) that the entity needs for other operations. The entity has control over the machinery and can use it as it wishes.

If the fair value of the machinery is reliably measurable, the entity should record the transaction price of the contract at the fair value of the machinery. Suppose the fair value of the machinery is $10,000. Then, the entity would recognize $10,000 as revenue when (or as) it performs the consulting services, and it would also recognize the machinery as an asset at the same amount.

If the entity cannot reliably measure the fair value of the machinery, it should estimate the transaction price by reference to the standalone selling price of the consulting services it promised to the customer.

In either case, the entity should disclose the non-cash consideration in the notes to its financial statements.