The revenue reconition principle requries that
a) revenue be recognized only after cash payment has been received
b) only the amount of revenue for which cash will be received in the current fiscal year be recognized in the current year
c) allows considerable latitude in the timing of revenue recognition
d) revenue be recognized in the period when the firm becomes entitled to payment for good or services delivered.
Answer: d) revenue be recognized in the period when the firm becomes entitled to payment for good or services delivered.
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a. True b. False Indicate whether the statement is true or false
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