The timing of revenue recognition is dependent upon the control of the good being in the hands of the ________.
A)buyer
B)seller
C)management
D)any third party

Question

Quizplus · Accepted Answer

The timing of revenue recognition is dependent on the control of the good being in the hands of the buyer. Once the buyer has control over the item being sold, the revenue can be recognized. Control can be determined by various factors, such as possession of the good, legal title, and risks and rewards associated with ownership. The seller's role is to transfer control to the buyer, which triggers revenue recognition.

The Timing of Revenue Recognition Is Dependent Upon the Control