Under Accrual Accounting, Revenues Are Recognized When

question 108

Multiple Choice

Under accrual accounting, revenues are recognized when

• A)the firm has performed all, or most of, the services it expects to provide.
• B)the firm has received cash, or some other asset such as a receivable, whose cash-equivalent value it can measure with reasonable precision.
• C)the firm has significant uncertainty about the amount and timing of the cash inflows and outflows from the sales transaction.
• D)both a and b must be present.
• E)none of the above.

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Definitions:

Confidentiality

The assurance that personal or sensitive information is kept secure and not shared without authorization.

Public Settings

Environments or spaces accessible to the general public where social interactions occur.

Ethical Review Board

A committee tasked with reviewing research proposals to ensure that ethical standards are met and that participants are protected from harm.

Physical Risk

The possibility of sustaining bodily injury or harm during the performance of an activity or due to exposure to physical hazards.