You are the controller of a large company with many different types of sales ventures. Your company follows APSE. Under which of the following scenarios would you recognize the most revenue in 2013?

1. On December 31, 2013, you ship $100,000 of goods on consignment to a retailer.

2. In 2013, you complete the first 25% of a $1 million contract with a 40% profit margin. You use the completed-contract method.

3. On December 15, 2013, you ship $100,000 of goods to a customer who promises to pay you in 30 days.

4. On December 1, 2013, you invest $1 million in a bond that pays interest at 11% per year.

Answer rating: 100% (QA)

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