Beringer Company Places an Order for Supplies with Picasso Company

question 26

Multiple Choice

Beringer Company places an order for supplies with Picasso Company on December 17.Picasso delivers the supplies on December 20 and invoices Beringer on December 21.Beringer pays the invoice on December 29.On what date does Beringer satisfy its performance obligation?

• A)December 17
• B)December 20
• C)December 21
• D)Beringer Company does not have a performance obligation.

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Definitions:

Objectives And Standards

Targeted outcomes that individuals or organizations aim to achieve, measured against predetermined benchmarks.

Corrective Action

Measures taken to rectify, fix, or improve a situation or process following the identification of a problem or mistake.

Output Standards

Measure performance results in terms of quantity, quality, cost or time.

Performance Results

The outcomes or outputs stemming from the activities or tasks performed by an individual or organization, often measured against set goals or standards.