Which of the Following Expressions Correctly Describes When Revenues and Expenses

question 31

Multiple Choice

Which of the following expressions correctly describes when revenues and expenses are recognized under accrual basis accounting?

• A)Revenues when cash is received;expenses when cash is paid.
• B)Revenues when cash is received;expenses when the expense is incurred.
• C)Revenues when the performance obligation is satisfied;expenses when the expense is incurred.
• D)Revenues when the performance obligation is satisfied;expenses when cash is paid.

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Definitions:

Genome

The complete structure sequence of DNA for a species.

DNA

Deoxyribonucleic acid, the hereditary material in humans and almost all other organisms, containing the genetic instructions for development, functioning, growth, and reproduction.

Genotype

The alleles possessed for a particular trait.

Homo Sapiens

The species name for modern humans, characterized by a larger brain, upright posture, and capacity for complex language and thought.