Question

what is revenue recognition concept ?.
please answer me...if you don't know the answer then don't reply....
(◍•ᴗ•◍)❤​

Answer 1

Answer:

The revenue recognition principle, a feature of accrual accounting, requires that revenues are recognized on the income statement in the period when realized and earned—not necessarily when cash is received. ... Earned revenue accounts for goods or services that have been provided or performed, respectively.

Explanation:

plz mark me as brainlist

Answer 2

1) What is revenue recognition concept?

Answer: Revenue Recognition is a generally accepted accounting principle ( GAAP) that identifies the specific conditions in which revenue is recognized and determines how to account for it. Typically revenue is recognized when a critical event has occurred, and the dollars amount is easily measurable to the company.

For example,revenue accounting is fairly straightforward when a product is sold,and the revenue is recognized when the customer pays for the product. However,accounting for revenue can get complicated when a company takes a long time to produce a product. As a result, there are several situations in which there can be expections to the revenue recognition principle.

♡ hope it's helpful to you mate ♡

✔ Follow me ✅