Smith plc is an online retailer trading via its 'Luxury Looks' website. It has a year end of 30 September. Its Finance Manager is currently working on the 203 financial statements and has a number of items for which the accounting treatment needs to be determined. All the items relate to IFRS 15 Revenue from Contracts with Customers. a) State and briefly explain each stage in the IFRS 15 revenue recognition model. 10 marks b) 1) In addition to selling goods under its own brand via the 'Luxury Looks' website, Smith plc also has a partnership with a selected group of other retailers, which allows them to sell their goods via 'Luxury Looks'. Smith plc takes a 5% commission on these sales, which for the 203 financial year totalled 37,500,000. Smith plc only accounts for this each year end. 2) Smith plc sells a very important person (VIP) membership to 'Luxury Looks'. VIP members pay 150 per year (the year runs from 1 January to 31 December) as an upfront fee for access to a special area of the website offering flash sales and advance previews. There are 4,000 customers in the VIP membership scheme for 203. 3) Smith plc does not normally offer credit to customers, but a special exception was made at the start of the 203 financial year, for a member of a royal family who was concerned about her spending records being made public. A discreet agreement was drawn up with her lawyers, allowing her to pay at a more convenient time. She owes Smith plc 4,000,000 but will pay 4,494,400 in 2 years' time, which implies an interest rate of 6% per year. equired: alculate the amount of revenue, and any other items to be recognised in the atement of Financial Position and Income Statement for each item 1)-3) above. 10 marks Total 20 marks