Which of the following options regarding income earned will not be classified as revenue? Select one: a. Profit on sale of vehicle which was used as a delivery vehicle by the entity. b. Commission income earned on each property sold by a sales agent. c. Sale of vehicle that was held primarily for the purpose of being traded. d. Rental income earned by a lessor on commercial buildings leased to a lessee.

Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter9: Accounting For Receivables
Section: Chapter Questions
Problem 1MC: Which of the following is not a criterion to recognize revenue under GAAP? A. The earnings process...
icon
Related questions
icon
Concept explainers
Topic Video
Question

Which of the following options regarding income earned will not be classified as revenue?

Select one:
a.

Profit on sale of vehicle which was used as a delivery vehicle by the entity.

b.

Commission income earned on each property sold by a sales agent.

c.

Sale of vehicle that was held primarily for the purpose of being traded.

d.

Rental income earned by a lessor on commercial buildings leased to a lessee.

 

Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Financial Statements
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles of Accounting Volume 1
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Income Tax Fundamentals 2020
Income Tax Fundamentals 2020
Accounting
ISBN:
9780357391129
Author:
WHITTENBURG
Publisher:
Cengage
CONCEPTS IN FED.TAX., 2020-W/ACCESS
CONCEPTS IN FED.TAX., 2020-W/ACCESS
Accounting
ISBN:
9780357110362
Author:
Murphy
Publisher:
CENGAGE L
Contemporary Auditing
Contemporary Auditing
Accounting
ISBN:
9781337650380
Author:
KNAPP
Publisher:
Cengage
College Accounting (Book Only): A Career Approach
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub