In Real Estate Sales, What Method of Revenue Recognition Must

question 86

Multiple Choice

In real estate sales, what method of revenue recognition must be used if the sale is not consummated?

• A) deferral method
• B) cost recovery method
• C) installment method
• D) completed-contract method

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Definitions:

Hertz

The unit of frequency in the International System of Units (SI), equivalent to one cycle per second, used to measure the frequency of alternating currents and sound waves.

Cycle

One complete AC waveform.

Effective

Producing a decided, decisive, or desired effect, particularly in the context of performance or efficiency.

Peak-to-peak

Refers to the difference in amplitude between the highest and the lowest points of a waveform, indicating the total voltage change.