Which of the Following Is the Fifth Step in the Five-Step

question 55

Multiple Choice

Which of the following is the fifth step in the five-step revenue recognition process prescribed by ASC 606?

• A)Satisfaction of a performance obligation.
• B)Execution of an enforceable contract for the transfer of goods or services.
• C)Collection of substantially all of the transaction price from the customer.
• D)None of the above.

---

Definitions:

Workforce Preparation

The process of equipping individuals with the skills, knowledge, and competencies required to enter and succeed in the labor market.

Decent Wages

Compensation for work that is fair, sufficient for a decent living, and commensurate with the cost of living.

Stabilization

The process of making something more stable or consistent, often used in the context of economic, environmental, or psychological states.

Occupational Development

The process of growth and change in a person's career over time, including gaining skills, experiences, and professional identity.