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CONTRACT BALANCES
 9 Months Ended
Mar. 31, 2021
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Abstract]  
CONTRACT BALANCES

The timing of revenue recognition, billings and collections may result in billed accounts receivable, unbilled receivables (contract assets), and customer advances and deposits (contract liabilities). The Company’s payment terms and conditions vary by contract type, although terms generally include a requirement of payment of 70% to 90% of total contract consideration within 30 to 60 days of shipment with the remainder payable within 30 days of acceptance. In instances where the timing of revenue recognition differs from the timing of invoicing, the Company has determined that its contracts generally do not include a significant financing component.

 

Contract assets were recorded under other receivable while contract liabilities were recorded under accrued expenses in the balance sheet. 

 

The following table is the reconciliation of contract balances.

 

   

Mar. 31,

2021

(Unaudited)

    

June 30,

2020

  
Trade Accounts Receivable     6,997       5,951  
Accounts Payable     2,997       2,590  
Contract Assets     308       216  
Contract Liabilities     584       476  

 

Remaining Performance Obligation

 

As at March 31, 2021, the Company had $600 in remaining performance obligations, which represents our obligation to deliver products and services. Given the profile of contract terms, approximately 80.0% of this amount is expected to be recognized as revenue over the next two years, with the remaining amount expected to be recognized between three and five years.

 

Refer to note 14 “Business Segments” of the Notes to Condensed Consolidated Financial Statements for information related to revenue.