62. Accrual basis of accounting is used to measure a firm's financial performance primarily because* It records revenue in the books when cash payments are received It provide better indication of the ability to generate cash flow Cash inflow and outflow are less important Cash basis of accounting is less known among practicing accountants

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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62. Accrual basis of accounting is used to measure a firm's financial performance primarily because*
It records revenue in the books when cash payments are received
It provide better indication of the ability to generate cash flow
Cash inflow and outflow are less important
Cash basis of accounting is less known among practicing accountants
Transcribed Image Text:62. Accrual basis of accounting is used to measure a firm's financial performance primarily because* It records revenue in the books when cash payments are received It provide better indication of the ability to generate cash flow Cash inflow and outflow are less important Cash basis of accounting is less known among practicing accountants
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