When Does a Company Account for Revenue If It Uses

question 132

Multiple Choice

When does a company account for revenue if it uses cash basis accounting?

• A) when services are performed, even though cash may be received at a later date
• B) before services are performed
• C) when the services are being performed
• D) when cash is received, either prior to, at the time of, or after the services are performed

---

Definitions:

Moral Purity

A social movement, especially prominent in the 19th and early 20th centuries, aimed at maintaining or restoring the moral integrity of society through abstention and the prohibition of behaviors deemed immoral.

State Intervention

The involvement of a government in regulating or participating in economic, social, or other public sectors, often aimed at achieving policy objectives or correcting market failures.

New Nationalism

A political philosophy introduced by Theodore Roosevelt in 1910 advocating for government intervention to enhance public welfare and regulate big businesses.

Theodore Roosevelt

The 26th president of the United States, known for his progressive policies, leadership of the Progressive Movement, and conservation efforts.