Sales Revenues Are Usually Considered Recognized When

question 120

Multiple Choice

Sales revenues are usually considered recognized when

• A)cash is received from credit sales.
• B)an order is received.
• C)goods have been transferred from the seller to the buyer.
• D)adjusting entries are made.

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Definitions:

Marginal Benefits

The uplift in utility or enjoyment gained through consuming or producing an added unit of a good or service.

Marginal Costs

The added cost incurred when one more unit of a good or service is produced.

Marginal Benefit

The additional pleasure or utility gained when one more unit of a good or service is consumed.

Marginal Cost

The additional cost incurred to produce one more unit of a good or service.