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John Stag Co. manufactures farm equipment. It sells this equipment to a network of independent distributors, who in turn sell the equipment to final consumers.

John Stag Co. manufactures farm equipment. It sells this equipment to a network of independent distributors, who in turn sell the equipment to final consumers. Stag provides financing and insurance services both to its distributors and to final consumers. Discuss when the company should recognise revenue along with any unique issues it may face in the recognition of expenses.

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