Learning Objective $06-02$ Explain when it is appropriate to recognize revenue at a single point in time.

Skip to question

$[$The following information applies to the questions displayed below.$]$

Revenue should be recognized at a single point in time when control of a good or service is transferred to the customer on a specific date. Indicators that transfer has occurred and that revenue should be recognized include the seller having the right to receive payment, the customer having legal title and physical possession of the asset, the customer formally accepting the asset, and the customer assuming the risks and rewards of ownership.