As a General Rule, Revenue Is Normally Recognized When It

question 58

Multiple Choice

As a general rule, revenue is normally recognized when it is:

• A)measurable and earned.
• B)measurable and received.
• C)realizable and earned.
• D)realizable and measurable.

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Definitions:

Payout Ratio

A financial metric that shows the percentage of a company's earnings paid to shareholders as dividends.

Dividends

Payments made by a corporation to its shareholder members, often derived from the company's profits.

Stockholders

Stockholders, also known as shareholders, are individuals or entities that own one or more shares of stock in a public or private corporation.

Repurchase

The act of buying back previously sold securities, commodities, or other financial assets by the original issuer or seller.