With Respect to Services Provided, It Is Customary to Recognise

question 12

Multiple Choice

With respect to services provided, it is customary to recognise revenue when the:

• A) customer requests the service.
• B) supplier agrees to provide the service.
• C) service is provided.
• D) service is paid for.

---

Definitions:

Cash Dividends

Dividends paid in the form of cash to a company’s shareholders from its current or retained earnings.

Public Corporations

are companies whose shares are traded publicly on stock exchanges, allowing them to raise capital from public investors.

Earnings

The amount of profit that a company produces during a specific period, typically reported as net income.

Capital Gain Yield

The aspect of the total gains from an investment that derives solely from its rise in price, without accounting for dividends or interest received.