What does the phrase, "Revenue is recognized when earned" mean?

A) Revenue is recorded in the accounting records when the goods are received from a supplier, and reported on the income statement when sold to the customer.
B) Revenue is recorded in the accounting records and reported on the income statement when the cash is received from the customer.
C) Revenue is recorded in the accounting records when the goods are sold to a customer, and reported on the income statement when the cash payment is received from the customer.
D) Revenue is recorded in the accounting records and reported on the income statement when goods are sold and delivered to a customer.


D

Business

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