Page 188 - F2 Integrated Workbook STUDENT 2019
P. 188
Chapter 7
Example 7.6
Suzy Ltd purchased a luxury apartment block many years ago for $1.2 million.
On 31 December 20X1, Suzy sold the block to a customer, Danson, for
$2 million and transferred legal title. Suzy Ltd has retained an option to
repurchase the building for $3 million in 3 years’ time.
What amount of revenue should Suzy Ltd recognise from the above
transaction in the year-ended 31 December 20X1?
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