FASB Statement 116 Requires Conditional Promises to Give to Be

question 66

True/False

FASB statement 116 requires conditional promises to give to be recorded as revenue when the condition is met.

---

Definitions:

Legal Person

An entity, such as a corporation, recognized by law as having rights and obligations.

Infants

Children in the earliest stage of their lives, typically considered to be from birth to 2 years old.

Adults

Individuals who are considered legally mature and are responsible for their actions, with the age of adulthood varying by jurisdiction.

Contract

A pact between two or more parties that is recognized and enforceable by law.