BC434 The boards decided that an entity should apply IFRS 15 using either of the following methods:
(a) retrospectively to each prior reporting period presented in accordance with IAS 8 or Topic 250 Accounting Changes and Error Corrections, subject to some optional practical expedients (see paragraphs BC435-BC438); or
(b) retrospectively with the cumulative effect of initially applying IFRS 15 recognised as an adjustment to the opening balance of retained earnings at the date of initial application (see paragraphs BC439-BC444).
Retrospective application
BC435 The 2010 and 2011 Exposure Drafts proposed that an entity should apply the requirements retrospectively in accordance with IAS 8 or Topic 250. Retrospective application ensures that all contracts with customers are recognised and measured consistently both in the current period and in the comparative periods presented, regardless of whether those contracts were entered into before or after the requirements became
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