Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Question 2 Not yet answered In the year ended 30 June 2020, Roma Ltd (Roma) entered into the following transactions: 1. Roma sold goods with
Question 2 Not yet answered In the year ended 30 June 2020, Roma Ltd (Roma) entered into the following transactions: 1. Roma sold goods with a sales price of $2,000 each, which related to the sale of goods plus a 12-month servicing contract. Roma sold three of these items on 1 October 2019, and two of these items on 1 April 2020. The revenue is split 75%/25% to the goods and servicing respectively. 2. Roma started selling a new product that it ordered from the supplier on a sale or return basis. If the goods did not sell, Roma could return them to the supplier without penalty. For any goods sold the company received a 10% commission. Roma made $5,000 of gross sales on these products during the financial year. Marked out of 1.00 Flag question How much should Roma recognise for revenue, in accordance with AASB 15 for the year ended 30 June 2020? Select one: a. $9,375 O b. $ 10,500 O c. $8,000 O d. $15,000 O e. $13,875
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started