alleryStart learning →Which feature must a contract have before it counts as a contract with a customer?
ACommercial substance
BA fixed one-year term
CA written bank guarantee
DPrior government approval
Answer & Solution
Correct answer: A. Commercial substance
The contract must have commercial substance, along with approval, identifiable rights and clear payment terms.
Keep practising Ind AS 115 Revenue from Contracts with Customers
Browse all Ind AS 115 Revenue from Contracts with Customers questions for CA Final, or explore more Financialreporting topics.
Related questions
Repayment of debt principal belongs to which activity?In the indirect method, an increase in an asset account is treated how?The indirect method of cash flow preparation starts from what?Purchase or sale of an asset is classified under which activity?Under IAS 7, where may interest paid be reported?Which item does a cash flow statement exclude as a non-cash transaction?Why can a profitable company still run short of cash?A cash flow statement splits cash flows into which three?