Question

sale is recognised as revenue ​

Answer 1

Answer:

sale is considered as generation of income

Explanation:

income leads to profits

Answer 2

Answer:

Yes, Sale is recognized as revenue.

Explanation:

As per the question-

According to the principle ' Revenue recognition ' , revenues are recognized when they are realized or realizable, and are earned (usually when goods are transferred or services rendered), no matter when cash is received. In cash accounting - in contrast - revenues are recognized when cash is received no matter when goods or services are sold.

Cash can be received in an earlier or later period than obligations are met (when goods or services are delivered) and related revenues are recognized that results in the following two types of accounts :

1) Accrued Revenue : Revenue is recognized before cash is received.

2) Deferred Revenue : Revenue is recognized when cash is received.

       

       Revenue realized during an accounting period is included in the income.

For more such questions on revenue: brainly.in/question/7211099

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