GAAP That Covers Revenue Recognition for Multiple-Part Arrangements Requires That

question 186

Multiple Choice

GAAP that covers revenue recognition for multiple-part arrangements requires that a seller recognize revenue for a particular part if:

• A)The part has value on a stand-alone basis.
• B)Customer acceptance of the part is not contingent on successful delivery of a later part.
• C)The part constitutes at least a "preponderance of the fair value" of the total arrangement.
• D)Both the part has value on stand-alone basis and customer acceptance of the part is not contingent on successful delivery of a later part are required.

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Definitions:

Counterconditioning

A behavior therapy technique aiming to replace undesirable behaviors with more desirable responses.

Systematic Desensitization

A behavioral therapy technique used to help individuals overcome fears and anxieties by gradual exposure to the feared object or situation combined with relaxation techniques.

Counterconditioning Procedures

Techniques used in behavior therapy to replace a negative or unwanted response to a stimulus with a positive one.

Mary Cover Jones

An early psychologist known for her work in desensitization therapy, helping to lay the foundation for behavior therapy.