alleryStart learning →When a component is sold in one deal, actual transfer of control may happen
ABefore the agreement
BNever after signing
CAt a later date
DOnly on the same day
Answer & Solution
Correct answer: C. At a later date
The binding sale agreement fixes a specific date, but possession and control can pass later, and payments may be spread over time.
Keep practising 3b AS 24 Discontinuing Operations
Browse all 3b AS 24 Discontinuing Operations questions for CA Inter, or explore more Accounting topics.
Related questions
Assets of Rs. 85 lakhs and liabilities of Rs. 15 lakhs give net assets ofAssets carried at Rs. 105 lakhs have a recoverable amount of Rs. 85 lakhs. The impairment The aim of AS 24 is to separate information on discontinuing operations fromAS 24 cash flow requirements apply only when the enterpriseInterim report disclosures on discontinuing operations followComparative figures after the initial disclosure event must beDisclosures under AS 24 are presented separately forThe effect of abandoning a plan includes reversal of any prior