In Which of the Following Situations Can a Company Recognize

question 44

Multiple Choice

In which of the following situations can a company recognize revenue under GAAP?

• A)A contract is signed for goods to be delivered next week.
• B)Cash is received for goods to be delivered next week.
• C)A company completes the production of goods for inventory and knows the costs incurred with certainty.
• D)A company ships the goods that it received a deposit for the previous week.

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Definitions:

Income Inequality

A measure of the uneven distribution of income within a population, highlighting the gap between the richest and the poorest.

Causes

The reasons or explanations for an event or phenomenon, indicating a relationship between actions or occurrences.

Labor Market Discrimination

Practices or biases that result in certain groups of people being treated differently in the labor market, which can impact hiring, salaries, job assignments, and promotions.

Universal Basic Income

A governmental public program for a periodic payment delivered to all citizens of a country or to a segment of the population, without a requirement to work or to demonstrate readiness to work.