Question
Komco Bhd sells RM 520,000 (cost RM 380,000) of cars parts to Auto company on 15 Sep 2020 after deducting RM 5,000 trade discount. The
Komco Bhd sells RM 520,000 (cost RM 380,000) of cars parts to Auto company on 15 Sep 2020 after deducting RM 5,000 trade discount. The agreement between the two companies stated that although the title passes to Auto company at the time the agreement is signed, Komco Bhd retains the sold goods in its inventory based on Auto company's' request till preparing new store for them. The new store of Auto company is expected to be ready on 15 Jan 2021. Auto company received its goods on 15 Feb 2021.
How much amount should Komco recognize as sales revenue?
Select one:
a. RM 520,000
b. RM 525, 000
c. RM 145,000
d. RM 380,000
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