Which of the Following Best Describes the Condition(s)that Must Be

question 22

Multiple Choice

Which of the following best describes the condition(s) that must be present for the recognition of revenue?

• A) The revenue must be earned,measurable,and collected.
• B) The revenue must be earned and collectible.
• C) The revenue must be earned,measurable,and collectible.
• D) The revenue must be measurable and collectible.

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Definitions:

45-Degree Line

In economics, a graphical representation used in Keynesian cross diagrams, where the line represents points where aggregate expenditure equals national income.

APC

The average propensity to consume, which is the ratio of consumption spending to disposable income.

Dissaving

Occurs when individuals withdraw funds from their savings, often due to expenditures exceeding income during a specific period.

Autonomous Consumption

The level of consumption that occurs when income is zero; it is the base level of spending that must occur even if an individual has no income.