OTC automobile company sells car to customer on sale plus 3 year service the price of car OMR 12,000 which includes 1500 for 3 year service. Based on this situation and IFRS 15 identify the correct statement from the following. Both performance obligations i.e., sale of car and service are recognized after a period of three years. Sale of car performance obligation is recorded in the year of sale and service charges is recognized in the specific year of service None of them Both performance obligations i.e., sale of car and service are recognized in the year of sale

OTC automobile company sells car to customer on sale plus 3 year service the price of car OMR 12,000 which includes 1500 for 3 year service. Based on this situation and IFRS 15 identify the correct statement from the following. Both performance obligations i.e., sale of car and service are recognized after a period of three years. Sale of car performance obligation is recorded in the year of sale and service charges is recognized in the specific year of service None of them Both performance obligations i.e., sale of car and service are recognized in the year of sale

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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