Ask Question
BusinessBusiness
28 January, 14:00

The revenue recognition principle requires companies to follow which of these steps in recording revenue (check all that apply) : A. Allocate the transaction price to the performance obligations B. Identify the contract with the customer C. Identify the performance obligations in the contract D. Determine the transaction price

+1
Answers (1)
  1. 28 January, 14:12
    0
    A. Allocate the transaction price to the performance obligations

    B. Identify the contract with the customer

    C. Identify the performance obligations in the contract

    D. Determine the transaction price

    Explanation:

    On May 28, 2014, the Financial Accounting Standards Board (FASB) and International Accounting Standards Board (IASB) jointly issued Accounting Standards Codification (ASC) 606, regarding revenue from contracts with customers. ASC 606 provides a uniform framework for recognizing revenue from contracts with customers.

    Identify the contract

    Identify the contractual performance obligations

    Determine the amount of consideration/price for the transaction

    Allocate the determined amount of consideration/price to the contractual obligations

    Recognize revenue when or as the performing party satisfies performance obligations
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “The revenue recognition principle requires companies to follow which of these steps in recording revenue (check all that apply) : A. ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
How many products are in the average supermarket today
Answers (1)
A system to protect workers against managerial abuse by dictating rewards and job allocation through detailed work rules, seniority rights, and/or a contract is known as:A. Business unionismB. Job control unionismC.
Answers (1)
Which of these aspects have a direct political influence on fashion? a. marital statusb) recessionc) the social hierarchyd) a presidential election?
Answers (1)
Joannie wants to purchase a giant teddy bear for $30. if there is a 10% discount on the bear, how much will it cost before taxes?
Answers (1)
Which of the following might explain the evidence of an endowment effect in behavioral economics? A) Government regulation B) Knowledge and experience C) The federal tax code D) Class envy
Answers (1)
New Questions in Business
If you purchased a camera in Britain for 100 pounds what would be the price in U. S. dollars if one pound is worth 1.40? A:71 B:100 C:140 D:1400
Answers (1)
Gontier corporation stock currently sells for $64.18 per share. the market requires a return of 12 percent on the firm's stock. required: if the company maintains a constant 5.
Answers (1)
If someone asked you, "Why should I bother worrying about my credit score?" what would you say?
Answers (1)
Hall and Donnell reported findings of five separate studies involving over 12,000 managers that explored the relationship between managerial achievement and attitudes toward subordinates.
Answers (1)
On September 1, 2021, Daylight Donuts signed a $188,000, 6%, six-month note payable with the amount borrowed plus accrued interest due six months later on March 1, 2022.
Answers (1)
Home » Business » The revenue recognition principle requires companies to follow which of these steps in recording revenue (check all that apply) : A. Allocate the transaction price to the performance obligations B. Identify the contract with the customer C.
Sign Up Forgot Password?