Answered step by step
Verified Expert Solution
Link Copied!

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

image text in transcribed

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

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Getting Clinical Audit Right To Benefit Patients

Authors: Healthcare Quality

1st Edition

1873543069, 978-1873543061

More Books

Students also viewed these Accounting questions