Which of the Following Is Not True Regarding Performance Obligation

question 2

Multiple Choice

Which of the following is not true regarding performance obligation?

• A)The amount of revenue recognized would be the amount of consideration promised by the customer in exchange for the performance obligation
• B)Most sales and service contracts consists of a single performance obligation.
• C)A contract may consist of several performance obligations.
• D)The entity has right to payment determines a performance obligation has been satisfied.

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Definitions:

Direct Reports

Employees who report directly to a manager or supervisor in the organizational hierarchy.

Problems and Concerns

Issues, obstacles, or worries that need to be addressed or resolved within any given context or environment.

Negotiation Style

The approach or method individuals use when seeking to resolve differences and reach agreements in personal or professional contexts.

Major Concessions

Significant compromises or allowances made during negotiations aiming to reach an agreement.