Consider the following events for Sophia Incorporated:
April 5$\quad$ Sophia purchases volleyballs for $\$ 200$ on account.
April 6$\quad$ Sophia advertises a sand volleyball camp for $\$ 20$ a person.
April 12$\quad$ Thirty people sign up for the camp paying a total of $\$ 600$.
April 21 $\quad$Sophia hosts the sand volleyball camp.
April 23 $\quad$Sophia pays for the volleyballs purchased on April 5.
Under cash-basis accounting,what is the appropriate day to record the revenues related to the sand volleyball camp?

Question

Consider the following events for Sophia Incorporated:
April 5$\quad$ Sophia purchases volleyballs for $\$ 200$ on account. 
April 6$\quad$ Sophia advertises a sand volleyball camp for $\$ 20$ a person. 
April 12$\quad$ Thirty people sign up for the camp paying a total of $\$ 600$. 
April 21 $\quad$Sophia hosts the sand volleyball camp. 
April 23 $\quad$Sophia pays for the volleyballs purchased on April 5.
Under cash-basis accounting,what is the appropriate day to record the revenues related to the sand volleyball camp?

Quizplus · Accepted Answer

Under cash-basis accounting, revenue is recorded when cash is received. In this case, the revenue from the sand volleyball camp is recorded on April 12 when the participants pay for the camp.

Consider the Following Events for Sophia Incorporated: April 5 \quad Sophia Purchases Volleyballs For

Consider the Following Events for Sophia Incorporated:
April 5 $\quad$ Sophia Purchases Volleyballs For