On 1 January 2016, Producer enters into a contract to deliver a product to Customer on 31 March 2016. The contract is non-cancellable and requires Customer to make an advance payment of €5,000 on 1 February 2016. Customer does not pay the consideration until 1 March. How should Producer reflect the transaction in the statement of financial position?
A) 1 February 2016
Dr Trade Receivables

\quad\quad€ 5,000

Cr Contract Liability

\quad\quad€ 5,000

31 March 2016
Dr Contract Liability

\quad\quad€ 5,000

Cr Revenue

\quad\quad€ 5,000

B) 1 February 2016
Dr Trade Receivables

\quad\quad€ 5,000

Cr Contract Liability

\quad\quad€ 5,000

1 March 2016
Dr Cash

\quad\quad€ 5,000

\mathrm{Cr}

Trade Receivables

\quad\quad€ 5,000

31 March 2016
Dr Contract Liability

\quad\quad€ 5,000

Cr Revenue

\quad\quad€ 5,000

C) 1 January 2016
Dr Trade Receivables

\quad\quad€ 5,000

Cr Contract Liability

\quad\quad€ 5,000

1 February 2016
Dr Cash

\quad\quad€ 5,000

\mathrm{Cr}

Trade Receivables

\quad\quad€ 5,000

31 March 2016
Dr Contract Liability

\quad\quad€ 5,000

Cr Revenue

\quad\quad€ 5,000

D) None of the above

Which of the Following Are Excluded from the Scope of IFRS

Multiple Choice

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