QUESTIONS 1. Flocrliners sells timber wood for floors from several outlets. In the previous vcars, it had undertaken the responsibility to install the timber flooring in the customers' premises. The customers paid the full cost on ordering, and it took two months for the flooring to be installed. Floorliners recognised The revenue only on the successful installation of the timber floor. From i January x8, Floorliners changed its method of trading and sub-contracted the installation jobs to approved contractors. Under this policy, the sub- contractors are paid by Floorliners and the sub-contractors are liable for any errors made in the fitting. Floorliners wants to recognise revenue when the customers pay for the goods, rather than when they have been fitted The details of the relevant sales figures are: RM'000 100,000 5,000 Sales made for the year to 31 December 8 Sales value of timber flooring fitted in the two months to 28 February x8 (not included in the RM100 million above) Sales value of timber flooring fitted in the two months to 28 February x9 6,000 Required: Discuss whether the above situation represents a change of accounting policy