Which Statement About Deferred Revenue Is Correct

question 54

Multiple Choice

Which statement about deferred revenue is correct?

• A)Deferred revenue is a financial liability.
• B)Deferred revenue is a non-financial liability.
• C)Deferred revenue is a held for trading financial liability.
• D)Deferred revenue arises when the contract is signed.

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Definitions:

Endosperm

In flowering plants, nutritive storage tissue that is derived from the union of a sperm nucleus and polar nuclei in the embryo sac.

Seed Coat

The outer covering of a seed that protects the embryonic plant and its food supply from damage and desiccation.

Triploid Tissue

Tissue composed of cells with three sets of chromosomes, rather than the typical two sets found in most organisms, leading to unique genetic characteristics.

Triploid

An organism or cell having three sets of chromosomes, which is uncommon in most species and often leads to developmental abnormalities.