REvenue

This topic has 1 reply, 2 voices, and was last updated 3 years ago by Stephen Widberg.

Viewing 2 posts - 1 through 2 (of 2 total)

Author

Posts
December 13, 2022 at 3:25 am #674395
Frooti
Participant
- Topics: 92
- Replies: 83
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
Keymaster
- Topics: 17
- Replies: 3453
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.
Author

Posts

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.