The standard addressing revenue recognition principles in general terms is IAS 18. Revenue recognition for service transactions requires that the percentage-of-completion method be used unless certain defined conditions are not met. IAS 18 also established certain disclosure requirements, including the revenue recognition accounting policies of the reporting entity. Based on IASB's fundamental tenets of revenue recognition stated in IASB's Framework, IAS 18 establishes criteria for recognition of revenue from three categories of transactions-the sale of goods, the rendering of services, and the use by others of the reporting entity's assets. Revenue recognition for service transactions, as set forth in IAS 18, requires that the percentage-of-completion method be used unless certain defined conditions are not met. Current revenue recognition standards for services transactions closely parallel those for construction contracts under IAS 11. The various complexities in applying IAS 11, including the estimation of revenues, costs, and progress toward completion are discussed.