amlin423
Returning Member

Tracking inventory that is "given away"

My business lets users earn virtual currencies when they complete tasks in our mobile app, and the virtual currency can be used to redeem gift cards. Since we make money from advertisers who advertise in our app, the inventory of gift cards aren't directly tied to revenue and so I think of the giftcards as a "giveaway". Would this be a correct assumption? What is the proper way to account for this.