Which of the following statements is true? a. Under cash-basis accounting, revenues are recorded when earned and
Question:
Which of the following statements is true?
a. Under cash-basis accounting, revenues are recorded when earned and expenses are recorded when incurred.
b. Generally accepted accounting principles require companies to use cash-basis accounting.
c. The key elements of accrual-basis accounting are the revenue recognition principle, the matching principle, and the historical cost principle.
d. Accrual-basis accounting records both cash and noncash transactions when they occur.
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Related Book For
Cornerstones Of Financial Accounting Current Trends Update
ISBN: 9781111527952
1st Edition
Authors: Jay Rich , Jeff Jones, Maryanne Mowen , Don Hansen
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