The financial statements of M&S (GBR) are presented in Appendix A. The company’s complete annual report, including the notes to the financial statements, is available online.

Instructions

Refer to M&S’s financial statements and the accompanying notes to answer the following questions.

a. What were M&S’s sales for 2019?

b. What was the percentage of increase or decrease in M&S’s sales from 2018 to 2019?

c. In its notes to the financial statements, what criteria does M&S use to recognize revenue?

d. How does M&S account for discounts and loyalty schemes? Does the accounting conform to accrual-accounting concepts? Explain.