The major difference between cash-basis accounting and accrual-basis accounting is when the firm recognizes revenue and profits.

Name: The major difference between cash-basis accounting and accrual-basis accounting is when the firm recognizes revenue and profits.
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Cash-basis accounting recognizes revenue and profits when cash is received, while accrual-basis accounting recognizes revenue and profits when they are earned, regardless of when cash is received.

The Major Difference Between Cash-Basis Accounting and Accrual-Basis Accounting Is