Need Answer Which principle states that a companyshould use the same accountingmethods from period to period?a) Revenue Recognition Principleb) Matching Principlec) Consistency Principled) Full Disclosure Principle

Explanation of Revenue Recognition Principle:The Revenue Recognition Principle states that revenue…

Answered: Which principle states that a company…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter3: Analyzing And Recording Transactions

Section: Chapter Questions

Problem 10MC: Which of the following is the principle that a business must report any business activities that...

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Similar questions

Which of the following is the principle that a business must report any business activities that could affect what is reported on the financial statements? A. revenue recognition principle B. expense recognition (matching) principle C. cost principle D. full disclosure principle
Which of the following statements is true? Under cash-basis accounting, revenues are recorded when a company satisfies its performance obligations and expenses are recorded when incurred. Accrual-basis accounting records both cash and noncash transactions when they occur. Generally accepted accounting principles require companies to use cash-basis accounting. The key elements of accrual-basis accounting are the revenue recognition principle, the expense recognition principle, and the historical cost principle.
Which of the following is not a criterion to recognize revenue under GAAP? A. The earnings process must be completed. B. A product or service must be provided. C. Cash must be collected. D. GAAP requires that the accrual basis accounting principle be used in the revenue recognition process.
Which of the following is the principle that a company must recognize revenue in the period in which it is earned; it is not considered earned until a product or service has been provided? A. revenue recognition principle B. expense recognition (matching) principle C. cost principle D. full disclosure principle
When a company recognizes revenue during a period, what does it also recognize in its balance sheet?
IFRS requires companies to use which method for reporting changes in accounting policies? a. Cumulative effect approach. b. Retrospective approach. c. Prospective approach. d. Averaging approach.
FINANCIAL/GENERAL ACCOUNTING
How does the timing of revenue recognition impact a company's financial statements and profitability?
analyze company disclosures of signifi cant accounting policies
Which accounting principle requires that revenue be recognized when it is earned, regardless of when payment is received? A. Matching Principle B. Revenue Recognition Principle C. Historical Cost Principle D. Full Disclosure Principle
What is the role of GAAP (Generally Accepted Accounting Principles) in the practice of accounting, and how do companies ensure compliance with these standards?
Explain the principles of revenue recognition in accounting, including the criteria for recognizing revenue and the challenges associated with revenue measurement and timing.

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Which principle states that a company should use the same accounting methods from period to period? a) Revenue Recognition Principle b) Matching Principle c) Consistency Principle d) Full Disclosure Principle