When a Performance Obligation Is Satisfied,an Entity Shall Recognise Revenue

question 56

Multiple Choice

When a performance obligation is satisfied,an entity shall recognise revenue:

• A) in full if it is an immaterial amount.
• B) when the asset is transferred and the customer gains control of the asset.
• C) when the entity retains control.
• D) when the risks and rewards are transferred to the customer.

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Definitions:

Values Transmission

The process by which beliefs, morals, and values are passed down from one generation to another, often within families or through cultural teaching.

Social Justice

A concept based on the principles of equity, equality, and respect for human rights; broadly concerned with the equitable bearing of burdens and reaping of benefits in society.

Religious Holidays

Special days of celebration or observance pertaining to specific religious traditions, often involving rituals, gatherings, and various forms of worship.

Values Clarification

A process of becoming more conscious of and naming what we value or consider important in life, often used in moral and career decision-making.