Which of the Following Is a Condition Required by the SEC

question 89

Multiple Choice

Which of the following is a condition required by the SEC for the recognition of revenue?

• A)Completion of goods manufactured.
• B)Execution of a promissory note.
• C)Price in excess of $100.
• D)Reasonable assurance of collection.

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Definitions:

Eliminated

Removed or taken away, often used in the context of erasing a component or aspect in various fields such as finance, science, or competition.

Book Value

The net value of a company's assets as recorded on the balance sheet, minus its liabilities and the par value of any outstanding shares.

Opportunity Cost

Opportunity cost is the value of the next best alternative foregone as the result of making a decision.

Variable Costs

Payments that are contingent on the amount of production or the scope of sales, covering expenditures like materials and labor.