Telecommunications

Device Insurance Premium — Monthly Recurring

Recognizing the telecom's agent commission for selling device insurance on behalf of an insurer.

Account NameTypeDebit ($)Credit ($)
Accounts Receivable (Device Insurance Agent Fee)Asset (+)2,500.00-
Device Insurance Commission IncomeRevenue (+)-2,500.00

💡 Accountant's Note

When telecoms sell device insurance as an agent of an insurance company, only the agent commission is revenue — not the full premium. Under IFRS 15, acting as an agent requires net presentation.

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