Which of the following terms refers to the formal recording and reporting of revenues in financial statements?
A) Full disclosure
B) Revenue recognition
C) Compliance
D) Ethical practice
E) Materiality

Question

Quizplus · Accepted Answer

Revenue recognition refers to the formal recording and reporting of revenues in financial statements. Full disclosure, compliance, ethical practice, and materiality are all important principles in accounting, but they do not specifically refer to the recording and reporting of revenues.

Which of the Following Terms Refers to the Formal Recording