Generally, revenue from sales should be recognized at a point when
A)management decides it is appropriate to do so.
B)the product is available for sale.
C)an exchange has taken place and the earnings process is substantially complete.
D)the entire amount receivable has been collected from the customer and there remains
No further warranty liability.

Question

Quizplus · Accepted Answer

Revenue is recognized when an exchange has taken place and the earnings process is substantially complete, meaning the company has fulfilled its obligations to the customer.

Generally, Revenue from Sales Should Be Recognized at a Point