In Relation to the Recognition and Realisation of Income, Which

question 16

Multiple Choice

In relation to the recognition and realisation of income, which statement is correct?

• A)Recognition of income means including it in the income statement as part of the profit calculation.
• B)Income from a credit sale is normally recognised in the statement of financial performance when the cash is received.
• C)The realisation convention has replaced the income recognition criteria contained in the Conceptual Framework.
• D)All of the statements are correct.

---

Definitions:

Programmed Learning

An educational technique that involves breaking down learning content into manageable units, allowing for self-paced progression.

Correspondence Course

A method of learning where students and instructors interact at a distance, rather than in a traditional classroom setting.

Lecturing

The process of teaching by giving spoken explanations on a specific topic, typically as part of educational instruction in classroom or university settings.

Performance Tests

Evaluations designed to measure the efficiency, reliability, or effectiveness of a system, component, or person in a specific context.