If a Company Is Using Accrual Basis Accounting,when Should It

question 206

Multiple Choice

If a company is using accrual basis accounting,when should it record revenue?

• A) when cash is received, even though services may be performed at a later date
• B) when services are performed, even though cash may be received at a later date
• C) before services are performed
• D) when cash is received, 30 days after the completion of the services

---

Definitions:

Noxious

Harmful, poisonous, or very unpleasant.

Unwanted Stimulus

Any external event or situation that is not desired or is considered unpleasant by an individual, potentially leading to stress or discomfort.

Loud Stimulus

A sound or noise of high decibel level that triggers a sensory response.

Highly Crowded Cages

Conditions in which animals are kept in living spaces with insufficient room per individual, often leading to stress and health issues.