Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The revenue recognition principle: a) Companies should account for the revenue when the obligations are partly fulfilled. b) The revenue is accrued when it is

The revenue recognition principle:

a) Companies should account for the revenue when the obligations are partly fulfilled.

b) The revenue is accrued when it is probable that the payment will not be received.

c) Sales are accounted as soon as the sales contract is approved and signed by both parties.

d) Companies account for the revenue when they transfer goods or services to the customer.

e) Revenue is accounted independently from when the cash is paid.

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

Principles Of Food Beverage And Labor Cost Controls

Authors: Paul R. Dittmer, Gerald G. Griffin

6th Edition

0471293253, 978-0471293255

More Books

Students also viewed these Accounting questions

Question

Calculate the charge carried by 12.5 x 1018 electrons.

Answered: 1 week ago

Question

=+1. What is the brand's character or personality?

Answered: 1 week ago

Question

=+3. Who is the audience?

Answered: 1 week ago

Question

=+4. What do they (audience members) currently think?

Answered: 1 week ago