The company has main stream of revenue from rental property. The annual rent is amortized monthly equally over 12 months period. Besides rental, company issues license for one year. I want to know whether license revenue should be amortized monthly over 12 months or in a month in which it is paid.
Whether the amount is refundable or forfeited. If forfeited, revenue should be amortised in the month itself.
License revenue should be amortised over the period for which you have provided the license.
Hi The License revenue should be amotized over the License period.