Flyer Co.billed a client for flying lessons given in January.The payment was received in February.Under the accrual basis of accounting,when should Jedi record the revenue?

Question

Quizplus · Accepted Answer

Under the accrual basis of accounting, revenue is recorded when it is earned, regardless of when the payment is received. Since the flying lessons were given in January, the revenue should be recorded in January.

Flyer CoBilled a Client for Flying Lessons Given in January