BC486 As with any new requirements, there will be costs to implement IFRS 15. The breadth of industries and entities that will be required to apply IFRS 15, and the diversity in practice that existed under previous revenue recognition requirements, make it difficult to generalise the costs to preparers. However, because of the breadth of industries and entities that will be affected, most entities will incur at least some costs. Broadly, the boards expect that a majority of preparers may incur the following costs:

(a) costs to implement changes in or develop new systems, processes and controls used to gather and archive contract data, make required estimates and provide required disclosures, possibly including fees paid to external consultants;

(b) costs to hire additional employees that may be needed to comply with IFRS 15 and modify processes and internal controls accordingly;

(c) incremental fees paid to external auditors to audit the financial statements in the period of initial application of IFRS 15;

(d) costs required to educate management, finance and other personnel about the effects of IFRS 15; and

(e) costs required to educate users of financial statements about the effects on the financial statements.