Question Two 15 Consider The Following Scenarios A Audit Fees Received By An Auditing Firm B Final Ordinary Divide 1 (53.42 KiB) Viewed 65 times
QUESTION TWO (15) Consider the following scenarios: A. Audit fees received by an auditing firm. B. Final ordinary dividend received. Dividends are declared on 31 December and are payable to shareholders registered on that date. Payment is made three weeks after date of declaration. C. Trade discounts granted to customers.
D. Royalties amounting to R100 000 are receivable from a foreign country. The payment of the royalty is expected to be delayed. E. A vehicle sold in terms of an instalment sales agreement. Required: State with reasons when each of the above scenarios (A-F) will be recognised as revenue (timing of recognition), your response must comply with the requirements of International Financial Reporting Standards
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