Viewpoints: Presentation of transportation costs (Oil & gas)

Examine the circumstances in which transportation costs incurred by a producer of oil and/or gas should be netted from revenue or presented as a separate expense.

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Developed jointly by Chartered Professional Accountants of Canada (CPA Canada), the Canadian Association of Petroleum Producers (CAPP) and the Explorers and Producers Association of Canada (EPAC), this document discusses the presentation of transportation costs. Specifically, in what circumstances should transportation costs be netted from revenue or presented as a separate expense by a producer?

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