Sale or return basis, discussion paper and exposure draft

You could meet these in the exam – certainly sale or return.

Sale or return is when you give goods to a customer for them to look at and to then decide whether or not they want to buy them. If they decide to buy them then it is recorded as a sale on the day that they decide.
If they decide not to buy them, then they return the goods. It is not a sale, nothing is recorded, and during the period (whether they end up buying or returning) the goods still belong to the company.

Discussion papers and exposure drafts relate to financial reporting standards. When they are thinking of issuing a new one, first they produce discussion paper outlining the problems and possible solutions. People comment on this and then they produce a draft (first version) of the IFRS. Again, this is sent out for all relevant people to comment on. Then they make any changes they think are needed and issue it as a proper IFRS.

All of these are in fact mentioned in my free lectures. The lectures are a complete free course for Paper F3 and cover everything needed to be able to pass the exam well. If you watch them then you don’t really need a study text – but you still need a revision kit because question practice is so important 🙂