Please explain the accounting entries of the given problem as per Ind AS 16. The above question needs to be answered as the provisions of deferred credit terms contained in Ind AS 16. Also, please elaborate how to identify whether a given problem covers the case of deferred credit terms.

What hap pens if payment is deferred beyond normal credit terms? ment is deferred beyond normal credit terms: CEactva Difference between: Cash Price Equivalent . And Total payment Is recognised as Interest over the period of credit (Unless such interest is capitalised in accordance with Ind AS 23) Case Study: On 1st April 20X1, an item of property is offered for sale at 100 lacs, with payment terms being three equal instalments over a two years period (payments are made on 1st April 2017, 31st March 2018 and 31st March 2019). The property developer is offering a discount of 5 per cent (i.e. 5 lacs) if payment is made in full at the time of completion of sale. Implicit interest rate of 5.36 per cent p.a. Show how the property will be recorded in accordance of Ind AS 16