Why would as 15 affect expenses?

India adopted AS 15 from April 1 2018.  

Check this quarterly statement from PTC

 

https://www.ptcindia.com/files/investor_relation/Results%20Jun%202018_Final.pdf

If you check 4a Expenses, there is the line for Purchases
which says Purchases (Refer Note 9).

If you go below to Note 9, it refers to AS 15 - revenue from contracts with customers.

Since AS 15 concerns revenue, I do not understand how it affects Expenses/Purchases? Can someone explain this to me?

PTC is a power trading company.

Replies (1)
Actually they said that few purchases are not shown seprately they are dwducted directly from revenue as they are of agency nature, they receives commission on it which is difference of revenue and purchase.

for eg.

Sales: Normal 2000
Agency nature 3000
Purchase: normal 1200
Agency Nature 1600

It will be presented in PL
Revenue : 2000+1400(3000-1600)=3400
Purchase: 1200

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