146k views
2 votes
What is considered revenue recognition?

User Plluke
by
6.9k points

1 Answer

4 votes

Answer:

revenue is recognized and determines how to account for it. Typically, revenue is recognized when a critical event has occurred, and the dollar amount is easily measurable to the company

Step-by-step explanation:

examples:Sales Basis Method. With the sales basis revenue recognition methods, revenue is recorded at the time of sale.

Percentage of Completion Method

Completed Contract Method

User Wasswa Samuel
by
6.3k points