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CalculationIntermediateVariant — group VG.IFRS15.000705Published

Question · Principal versus agent considerations

Ébénis, a distributor of office furniture, buys chairs from a manufacturer, stores them in its warehouses, sets their selling price freely and is solely answerable to its customers for their compliance. It has concluded that it acts as a principal. In 20X1, it sells 1,200 units chairs at a unit price of 85; it bought them at 60 each. What revenue does Ébénis recognise?

Number of chairs sold
1,200
Unit selling price
85
Unit purchase price
60
Your answer

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