Site navigation

Revenue from sale of products, ordinarily is reported as part of the earning in the period when :

Under the revenue realisation (recognition) concept and accrual basis of accounting, revenue from the sale of products is ordinarily reported as part of earnings in the…

Choose your answer

Revenue from sale of products, ordinarily is reported as part of the earning in the period when :

Select one answer
Answer and explanation

Correct answer A

Under the revenue realisation (recognition) concept and accrual basis of accounting, revenue from the sale of products is ordinarily reported as part of earnings in the period when the sale is made—that is, when legal title or significant risks and rewards of ownership are transferred to the buyer—regardless of when cash is actually collected.

Practice for these exams

  • UGC NET Commerce

Related question papers

Related exam syllabi

Related questions in this topic