BC67 The boards decided that the revenue recognition model would apply to a contract with a customer only when the criteria in paragraph 9 of IFRS 15 are met. The rationale for those criteria is described in paragraphs BC33-BC46.

BC68 IFRS 15 applies to a single contract with a customer. In many cases, the contract that is accounted for separately will be the individual contract negotiated with the customer. However, the structure and scope of a contract can vary depending on how the parties to the contract decide to record their agreement. For instance, there may be legal or commercial reasons for the parties to use more than one contract to document the sale of related goods or services or to use a single contract to document the sale of unrelated goods or services. One of the boards' objectives in developing IFRS 15 is that the accounting for a contract should depend on an entity's present rights and obligations rather than on how the entity structures the contract.