Why this is mistaken
Establish observable or controlled estimated SSP at contract inception, apply relative allocation unless a supported exception changes the result, and reconcile every allocated amount to the transaction price.
Where to watch
When this mistake may appear
- Hardware is billed at $100,000.
- The discount is already assigned on the invoice.
Check your work
Your work may contain this mistake if:
- Uses invoice proportions as SSP evidence.
- Hides residual-method conditions.
- Does not reconcile allocated consideration to transaction price.