Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for December 2024 exams.
Get your discount code >>

Revenue from contracts with customers

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › Revenue from contracts with customers

Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • September 21, 2022 at 1:56 pm #666918
    johnbriane
    Member
    • Topics: 170
    • Replies: 160
    • ☆☆☆

    If the sale and lease back contract does not constitute a sale, a financial liability equal to the transfer proceeds should be recognized right sir ?

    September 22, 2022 at 8:52 pm #667029
    P2-D2
    Keymaster
    • Topics: 4
    • Replies: 7065
    • ☆☆☆☆☆

    Yes, if there is no sale then we still have control of the asset and continue to recognise it in our accounts. The proceeds that we have therefore received are treated as a financial liability, effectively a form of finance for us.

    Thanks

  • Author
    Posts
Viewing 2 posts - 1 through 2 (of 2 total)
  • You must be logged in to reply to this topic.