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The Accounting Principle That States That Revenue Is Recorded at the Time

question 136

Multiple Choice

The accounting principle that states that revenue is recorded at the time that it is earned regardless of whether cash or another asset has been exchanged is the:


Definitions:

Fixed-Rate Mortgage

A mortgage with an interest rate that remains constant throughout the life of the loan.

Acceleration Clause

A contract provision that allows a lender to require a borrower to repay all of an outstanding loan if certain agreed upon conditions are not met.

Market Value

The price at which an asset would trade in a competitive auction setting, reflecting what a willing buyer would pay a willing seller.

Mortgage

A loan in which property or real estate is used as collateral. The borrower agrees to pay back the loan, with interest, over a set period of time.

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