If payment is received at the same time a service is produced and sold,there is no difference between how cash and accrual accounting record the transaction.
BT: Comprehension

Question

Quizplus · Accepted Answer

This statement is true. When payment is received at the time a service is produced and sold, both cash and accrual accounting record the transaction in the same way. In both methods, the revenue is recognized at the time of sale and is recorded as an increase in the company's assets and equity.

If Payment Is Received at the Same Time a Service