4. Under ASC Topic 606 for revenue recognition, a performance obligation is considered satisfied when control over the goods and services is transferred to the customer. Which of the following is not an indicator that control has transferred?

a. The customer has legal title of the goods.

b. The customer is legally obligated to pay for the goods or services.

c. All of these are indicators that control has transferred.

4. The customer has accepted the goods and has physical possession of the goods.

5. Which of the following statements is true prior to ASC Topic 606 regarding accounting for revenue recognition?

a. Net asset balances will be the same no matter what revenue recognition method is used.

b. At the end of a long-term construction project, "retained earnings" will be the same whether the completed-contract or the percentage-of-completion method of accounting is used for the project.

c. Under GAAP, the completed-contract method is always an acceptable alternative to the percentage-of-completion method of accounting for a long-term construction project.

d. Input measures are not applicable to any revenue recognition accounting method.