The New Revenue Recognition Model Currently Studied by the IASB

question 43

Multiple Choice

The new revenue recognition model currently studied by the IASB and FASB

• A)is the contract-based approach
• B)is the earnings approach
• C)the percentage of completion method
• D)the completed contract method

Explain the effects of technological advancements on market outcomes.

Determine the consequences of changes in consumer income on inferior and normal goods.

Assess the impact of governmental regulations on market equilibrium.

Understand the effect of substitute and complementary goods on market dynamics.

---

Definitions:

Initial Margin

The upfront collateral required to open a position in the futures or derivatives market.

Shares

Units of ownership interest in a corporation or financial asset, representing a portion of the company's capital.

Initial Margin

The portion of the purchase price that an investor must deposit when buying securities on margin.

Purchase GM Stock

The action of buying shares in General Motors Company, an American multinational corporation that designs, manufactures, markets, and distributes vehicles and vehicle parts.