Which is a correct description of when revenue is recorded according to the Revenue Principle?
A) A company records revenue at the time it earns the revenue.
B) A company records revenue at the time it collects cash from a customer, even if the company will provide the required services or product later.
C) If a company makes a sale on credit, it will wait to record revenue until it collects cash from the customer.
D) b and c are both correct.
Ans: A) A company records revenue at the time it earns the revenue.
Business
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Distinguish between the concepts of the maturity-risk premium and the liquidity-risk premium
What will be an ideal response?
Business
The quick ratio:
a. is a measure of short-term debt-paying ability. b. calculation includes inventory. c. is used to evaluate profitability. d. is all of these.
Business