Under IAS 18, Which of the Following Is NOT a Condition

question 25

Multiple Choice

Under IAS 18, which of the following is NOT a condition that must be met in order for revenue from the sale of goods to be recognized?

• A)The significant risks and rewards of ownership of the goods have been transferred to the buyer.
• B)There must be a binding, written contract between the seller and the buyer.
• C)The amount of revenue can be measured reliably.
• D)Neither continued managerial involvement normally associated with ownership nor effective control of the goods is retained.

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Definitions:

Pain

An unpleasant sensory and emotional experience associated with actual or potential tissue damage or described in terms of such damage.

Self-awareness

The conscious knowledge of one's own character, feelings, motives, and desires, which can play a key role in personal development.

Self-conceptualization

The process by which an individual forms, defines, and perceives their own identity and characteristics.

Self-recognition

The ability of an individual to recognize themselves as a separate entity, often tested through the mirror test in humans and animals.