It is sometimes necessary to recognize revenue before delivery to maintain the predictive value of financial information.

Name: It is sometimes necessary to recognize revenue before delivery to maintain the predictive value of financial information.
Brand: Quizplus
Rating: 4.9 (40 reviews)

Question

Quizplus · Accepted Answer

Revenue recognition is the process of recording revenue when it is earned, regardless of when cash is received. This is done to maintain the predictive value of financial information, as it allows users to see the company's financial performance over time.

It Is Sometimes Necessary to Recognize Revenue Before Delivery to Maintain