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The best evidence of a standalone selling price is the price of goods or services sold separately by the Company in similar circumstances and to similar customers; a contractually stated price or a list price for goods or services can be used.

If a standalone selling price is not directly observable, it must be estimated. The following approaches may be used:

  1. Adjusted-market-assessment;
  2. Expected-cost-plus-margin; or
  3. Residual value.