Reader Interactions
Comments
Leave a Reply
You must be logged in to post a comment.
Free ACCA & CIMA online courses from OpenTuition
Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams
Free ACCA & CIMA online courses from OpenTuition
Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams
Why to provide for 110000 and not 60% of 100000 + 10000 ?
Because the payment is probable (i.e. the chances are more than 50%).
Did you watch the free lecture before attempting the test?
Got 75% 🙂
Question 2:
Why is item 1 considered virtually certain?
Why is item 2 disclosed by note only and not treated as a provision?
1. It is virtually certain that there will be warranty claims. How much will be claimed is not sure (it will probably be around 6%) but there are virtually certain to be some claims whatever % it is.
2. It is only possible that they might have to pay. The might not have to pay anything.
Got 75% .nice
got 75%
Thanks Mr. John Moffat.
I got 100%
🙂