The Term "Realization" in Revenue Recognition Refers to Which of the Following

question 27

Multiple Choice

The term "realization" in revenue recognition refers to which of the following?

• A)The entity has completed, or substantially completed, the activities it must perform to be entitled to the revenue benefits.
• B)The product or service has been exchanged for cash, claims to cash, or an asset that is readily convertible to a known amount of cash or claims to cash.
• C)The entity has received an irrevocable order for goods or services.
• D)Cash has been received with an irrevocable order for goods or services.