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    Question

    Company signs a ₹12 crore contract to deliver a

    software + annual maintenance for 3 years. Software is delivered in year 1 (₹8 Cr value), rest allocated to maintenance equally over next 3 years. How much revenue will be recognized in Year 2?
    A ₹1.33 crore Correct Answer Incorrect Answer
    B ₹2 crore Correct Answer Incorrect Answer
    C ₹4 crore Correct Answer Incorrect Answer

    Solution

    • ₹8 Cr for software recognized in Year 1 • ₹4 Cr remaining = ₹1.33 Cr/year ⇒ Revenue in Year 2 = ₹1.33 Cr

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