ABC Ltd. pays monthly office rental expenses of RM10,000 on the 5th day of every month.

At 31 December 2021, ABC Ltd. has an outstanding amount of one months office rental

expenses. What is the amount of office rental expense that ABC Ltd. will disclose in the annual Income Statement and the Statement of Financial Position as at 31 December 2021?

Income Statement Statement of Financial Position A. RM 110,000 RM 0

B. RM 120,000 RM 0

C. RM 110,000 RM 10,000

D. RM 120,000 RM 10,000

At which point does the business recognise that there has been a transfer of ownership of goods and that the business has the legally enforceable right to receive payment for the goods?

When the goods are produced.

When the customer places an order for the goods.

When the customer receives and accepts the goods.

When the customer pays for the goods.