Revenue usually is recognized at the point of sale. Under special circumstances, however, bases other than the point of sale are used for the timing of revenue recognition.

Disregarding the special circumstances when bases other than the point of sale are used, discuss the merits of each of the following objections to the sales basis of revenue recognition:

It is too conservative because revenue is earned throughout the entire process of production.

Answer rating: 100% (QA)

Conferring to the principle of revenue recognition revenues are recognized in the period earn... View the full answer