The Company have exported the goods to our client in India last December 25, 2020,  in amount of USD25,000 and it arrived India on January 5, 2021. How does the Company recognize this income if the incoterm is “ex works”, please advise.

Panwa: Please note that if the ex works incoterm, the buyer will have the duty to prepare the transportation by themselves since the goods leave from the seller’s warehouse which any expenses and risk is bear by the buyer. So, the Company should recognize this income in year 2020 that the goods were transported out from warehouse.

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