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REvenue

This topic has 1 reply, 2 voices, and was last updated 1 year ago by Stephen Widberg.

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December 13, 2022 at 3:25 am #674395
Frooti
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If x ltd sells goods for revenue of $1m and also provides put option to its customers to repurchase the goods then how it should be accounted in financial statements?
December 15, 2022 at 1:33 pm #674678
Stephen Widberg
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Avoid jargon like ‘put option’ in the exam. Marker will be confused. 🙂
If the customer has the right to return the goods, don’t book the revenue if you consider it likely that the customer will exercise the right.
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