Which of the Following Statements Is False

question 49

Multiple Choice

Which of the following statements is false?

• A)A liability is created when cash is received prior to delivery of the goods or services to a customer.
• B)Revenue is recognized at the time of delivery of the goods or services to customers if cash is received.
• C)Revenue is not recognized at the time of delivery of goods and services to customers if cash is received after delivery of the goods and services.
• D)Collecting cash after delivery of a good or service to a customer does not create revenue on the income statement at the date of collection.

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Definitions:

Geographic

Pertaining to the physical features, location, or characteristics of the earth or its environments.

End-use

The final application or consumption for which a product, material, or service is intended after its manufacture or production.

Co-branded Product

A product or service offered by two or more companies under a shared branding strategy, aiming to leverage each other's brand strengths.

Comarketed Product

A product that is promoted and sold by more than one company, often as a result of a partnership or agreement between the companies.