The Principle That (A) Requires Revenue to Be Recognized at the Time

question 188

Multiple Choice

The principle that (A) requires revenue to be recognized at the time it is earned, (B) allows the inflow of assets associated with revenue to be in a form other than cash,and (C) measures the amount of revenue as the cash plus the cash equivalent value of any noncash assets received from customers in exchange for goods or services is called the:

• A)Going-concern principle
• B)Cost principle
• C)Revenue recognition principle
• D)Objectivity principle
• E)Business entity principle

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Definitions:

States

Distinct territorial and political entities within a federal system, each with its own government and a degree of autonomy.

Government-less State

A hypothetical or theoretical situation where society operates without a formal government, often associated with anarchism or extreme libertarian views.

Hobbes

Refers to Thomas Hobbes, a 17th-century English philosopher known for his work on political philosophy and his social contract theory, as outlined in his book "Leviathan."

Locke

Refers to John Locke, a 17th-century English philosopher known for his work in political philosophy, particularly regarding the development of liberalism.