Question
When rights of return exist, or are likely to be accepted, _______. A. the firm should simply expense them as incurred B. should restrict cash
When rights of return exist, or are likely to be accepted, _______.
| A. the firm should simply expense them as incurred | ||
| B. should restrict cash to cover any potential right of return or warranty claim | ||
| C. a reasonable estimate of refunds should be made when revenue is recognized. | ||
| D. a company should consult with other firms in the industry with respect to best practices |
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Strategic Accounting For Management
Authors: Bob Ryan
1st Edition
1861524625, 9781861524621
