24.

During the lifetime of an entity, accountants produce financial statements at arbitrary points in time. This is in accordance with the basic ___________ accounting concept.

a.

expense recognition

b.

conservation

c.

cost constraint

d.

periodicity

25.

When sales are made with a right of return, the company_________________.

a.

should recognize revenue for the full sales price

b.

records the returned asset in a separate inventory account

c.

should not recognize any revenue

d.

record the estimated returns in the Sales Returns account