Under IFRS, Which of the Following Is Not a Condition

question 43

Multiple Choice

Under IFRS, which of the following is not a condition for recognizing revenue?

• A) The amount of revenue and costs associated with the transaction can be measured reliably.
• B) It is reasonably possible that the economic benefits associated with the transaction will flow to the seller.
• C) For sales of goods, the seller has transferred to the buyer the risks and rewards of ownership and doesn't effectively manage or control the goods.
• D) For sales of services, the stage of completion can be measured reliably.

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Definitions:

Life Chances

The opportunities or probabilities of individuals in society to access valuable resources, achieve wellbeing, and attain social mobility based on their socioeconomic status.

Class System

A form of social stratification where people are grouped into a set of hierarchical social categories, the most common being the upper, middle, and lower classes.

Closed Class System

A social stratification system where mobility between classes is limited or non-existent, and one's social status is often inherited.

Wealth

An abundance of valuable resources or material possessions.