(Evaluation of IFRS 15 Revenue Standard From Contracts with Customers in Terms of Hotel Operations)

Abstract

Purpose – With this study, the revenue items of hotel enterprises are discussed with Turkey Financial Reporting Standards IFRS 15 .Because, Revenue is one of the factors in evaluating the performance of the company as well as the hotel companies. TRFS 15, The Concept of Revenue from Customer Contracts requires a five-stage performance process. In this study, the transfer of each performance process to the accounting records has been realized in accordance with the principles of TFRS 15.M Design/methodology/approach – In this study, income items of hotel establishments are classified into three categories as room, food and beverage and other income. According to these classifications room and food and beverage revenues, which are the items with the highest income from a hotel business, are accounted with examples for in accordance with TFRS 15 Revenue from Contracts with Customers. The study also contains accounting records made without taking into account TFRS 15 and the accounts also both records are compared. Findings – The current TFRS 15 Revenue standards from the Customer Agreements are used for the correct transfer of the income obtained from the ordinary operations of the hotel businesses to the financial statements needs to be considered. Accounting records must be followed before arrival, after the stay and after departure of the guest/guests and the transfer of income to the financial statements should only be realized after the performance of the goods and services especially after the guest / guests have left the hotel. Discussion – It is seen that income records are not kept in line with TFRS 15 principles within the scopeof five performance obligations in hotel businesses, reflecting the unearned income to the business records and this may cause false information transfer to financial circles,especially to business stakeholders.