Revenue from selling inventory is usually recognized when?
AAt the date of sale or delivery
BWhen the order is placed
CWhen the supplier is paid
DAt the year end audit
Answer & Solution
Correct answer: A. At the date of sale or delivery
Inventory sales are recorded at the date of sale, which is often the date of delivery.
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?