HI I have a query, if company sells goods through distributor,then when it should recognise revenue, a)at time of sale to distributir, b)at the time when distributors sells to final customer., as per AS-9 it should be (b). please explain in detail
Thanks in advance ..
Hi tushar
As per AS-9
Revenue from such sales can generally be recognised if significant risks of ownership have passed; however in some situations the buyer may in substance be an agent and in such cases the sale should be treated as a consignment sale.
Varma Raja & Associates
Thrissur
CA Inter
View Details
CCI
Pro
CAclubindia
