A factory-tested television needing only plugging in may be booked as a sale when?
ABefore installation ends
BOnly after a year
COnly on cash receipt
DAfter a service visit
Answer & Solution
Correct answer: A. Before installation ends
Where installation is very simple, the sale may be recognised even if installation is not yet completed.
Keep practising Revenue Recognition (AS 9)
Browse all Revenue Recognition (AS 9) questions for CA Inter, or explore more Accounting topics.
Related questions
Sales of Rs 1,00,000 carry a 2% volume rebate given. Revenue is what?A consignor sends 100 units at Rs 500; the consignee sold 60. Consignor's revenue?Membership fee giving only membership, with a separate annual subscription, is booked whenFees of Rs 36,000 cover a 9-month course. Revenue for 3 months is what?Fees for a season ticket to many events are allocated how?Trade discounts received are not revenue because they are what?Trade discounts and volume rebates given are treated how?Interest on an instalment sale is recognised in proportion to what?