Fees for Licenses and Permits Are Typically Recognized as Revenue

question 32

Multiple Choice

Fees for licenses and permits are typically recognized as revenue:

• A)when billed if they are expected to be received within the current period or soon enough after to pay liabilities of the current period.
• B)when received.
• C)when earned.
• D)to the extent that related expenditures have been made if the fees are restricted as such.

---

Definitions:

Critical Thinking

The objective analysis and evaluation of an issue in order to form a judgment.

Systematic Scrutiny

A methodical and thorough examination or investigation of a subject or system.

Objective Realities

Objective realities are facts or conditions that exist independently of individual beliefs, biases, or perceptions, grounded in empirical evidence.

Subjective Feelings

Personal emotions or sensations experienced uniquely by an individual, not necessarily observable by others.