Which of the Following Is Not True About Accounting for Revenue

question 169

Multiple Choice

Which of the following is not true about accounting for revenue from franchise arrangements?

• A) Franchise arrangements often include a performance obligation for a license as well as for delivery of goods or services.
• B) Franchise arrangements typically include one or more performance obligations for which revenue is recognized at a point in time.
• C) Franchise arrangements typically include one or more performance obligations for which revenue is recognized over a period of time.
• D) Franchise arrangements typically include one performance obligation because the goods or services included in the arrangement are not separately identifiable.

---

Definitions:

Atypical Behavior

Behavior that deviates significantly from the norm within a society or cultural context, often suggesting the presence of psychological or developmental issues.

Socioeconomic Status (SES)

A person’s position in society as determined by income, occupation, education, and place of residence. (Sometimes called social class.)

Political Values

The set of beliefs and ideological principles that guide an individual's preferences and opinions about political policies and candidates.

Cohorts

groups of people banded together or treated as a group, often used in research to study changes across different age groups over time.