- August 30, 2016 at 8:57 pm #336388nariMember
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I was thinking about a situation and I have a question. Its not directly related to F7 but I think you are the best person I should ask…..I hope you don’t mind.
In a situation where entity A sells shoes worth 100 in the last month (December) of their financial year and gives a discount voucher of 20 to the customers to be used within six months. How much revenue is recorded for that 1 pair of shoes, is it 100 or 80?
I was thinking that it should be 100 since we don’t know exactly how many people would use the voucher but then I was also thinking to be prudent and not overstate revenue for that financial year we should use 80.August 31, 2016 at 7:27 am #336466MikeLittleKeymaster
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Here’s a link:
Scroll down to paragraph 4.1 on page 8 (there’s much too much for me to start typing it all out!)
Hope that helps – let me know if it doesn’t
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