During May, 2018, Sugar Inc. performs consulting services. The client does not pay Sugar until June, 2018.

A. Using the cash basis of accounting, the revenue is reported in May 2018.
B. Using the accrual basis of accounting, the revenue is reported in June 2018.
C. Using the accrual basis of accounting, the revenue is reported when Sugar's expenses are paid.
D. Using the accrual basis of accounting, the revenue is reported in May 2018.


Answer: D

Business

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