Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The principal disadvantage of using the precentage-of-completion method of recognizing revenue from long-term contracts is that it: a) is unacceptable for income tax purposes b)

The principal disadvantage of using the precentage-of-completion method of recognizing revenue from long-term contracts is that it:
a) is unacceptable for income tax purposes
b) gives results based upon estimates which may be subject to considerable uncertainty
c) is likely to assign a small amount of revenue to a period during which much revenue was actually earned
d) none of these
What is the correct answer ??

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial accounting

Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel

IFRS Edition

9781119153726, 978-1118285909

More Books

Students also viewed these Accounting questions

Question

Recognize the features of practical performance appraisal forms

Answered: 1 week ago