FASB Statement 116 Requires Contributions to Be Recorded as Revenue

question 42

Multiple Choice

FASB statement 116 requires contributions to be recorded as revenue when

• A) The contributed money is actually received.
• B) The contribution is likely to be received.
• C) The contribution is promised.
• D) The contribution is probable and measurable.

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Definitions:

Haploid Cell

A cell that contains a single set of chromosomes, half the diploid number, typical of gametes.

Gametes

Reproductive cells that unite during sexual reproduction to form a new organism.

Diploid Zygote

The cell formed when two haploid gametes (from each parent) merge during fertilization, containing two complete sets of chromosomes, one from each parent.

Fungi

A realm comprised of organisms that create spores and derive nutrition from organic substances, encompassing molds, yeast, mushroom species, and toadstools.