Revenues Are Recognized When They Are

question 77

Multiple Choice

Revenues are recognized when they are:

• A)Earned and have received cash
• B)Received cash
• C)Earned and realized
• D)Realized

---

Definitions:

Minimum Tick Size

The smallest allowable increment by which the price of a financial instrument can move on the trading platform.

Treasury Bond Market

The marketplace where U.S. government bonds with maturities greater than ten years are issued and traded.

Spread

The difference between the purchase price and the sale price of a security, or the difference between the bid and ask prices.

Commercial Paper

An unsecured, short-term debt instrument issued by corporations, typically used for financing payroll, accounts payable, and other short-term liabilities.