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A Client in the Software Industry Comes to You for an Explanation

Question 63

Essay

A client in the software industry comes to you for an explanation of how to recognize revenue from the sale of software.The company does not provide any services related to the software, but has agreements to deliver software.
Required:
Explain how the presence or absence of significant production, modification, or customization affects revenue recognition for agreements to deliver software.

Correct Answer:

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If a company has an agreement to deliver...

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