Assume That Sanjeev Estimates Variable Consideration as the Most Likely

question 150

Multiple Choice

Assume that Sanjeev estimates variable consideration as the most likely amount.After Sanjeev has recognized revenue for two months of the contract,he changes his assessment of the chance the contract will pay him $3,000 to 70%.What adjustment to revenue should Sanjeev recognize to account for that change in estimate?

• A)Debit of $1,000
• B)Debit of $334
• C)Credit of $1,000
• D)Credit of $334

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Definitions:

Reinforcements

In psychology, reinforcements refer to incentives or consequences that strengthen the behavior they follow, making it more likely to occur in the future.

Chaining

A behavioral technique of teaching complex tasks by breaking them down into simpler steps or components.

Combination Lock

A combination lock is a type of lock that opens upon entering a sequence of symbols, typically numbers in a specific order.

Reinforcement

In behavioral psychology, a consequence that will strengthen an organism's future behavior whenever that behavior is preceded by a specific antecedent stimulus.