A business may sometimes receive amounts of cash for goods or services to be delivered in a future taxation year. Under the requirements of the Income Tax Act, these amounts should be:

Question

Quizplus · Accepted Answer

The correct answer is D because under the requirements of the Income Tax Act, amounts of cash received for goods or services to be delivered in a future taxation year should be included in revenue when the cash is received.

A Business May Sometimes Receive Amounts of Cash for Goods