With respect to hire purchase and installment sale
transactions, which of the following statement is incorrect?
AUnder hire purchase system, hire purchaser will pay cost of purchased asset in installmentsCorrect AnswerIncorrect Answer
BUnder hire purchase system, the ownership of the goods will be transferred by the hire vendor after payment of down payment (i.e. before first installment)Correct AnswerIncorrect Answer
CUnder installment system, ownership of the goods is transferred by owner on the date of delivery of goodsCorrect AnswerIncorrect Answer
DDepreciation on hire purchased asset is claimed by hire purchaserCorrect AnswerIncorrect Answer
