• 2022-06-01
    Since the revenue recognition principle requires that revenues be
    recorded when earned, there are no unearned revenues in accrual
    accounting.
    A: True
    B: False
  • B

    内容

    • 0

      Translate the following sentence into Chinese. "These two financial statements reflect the accrual basis accounting used by firms to match revenues with the expenses associated with generating those revenues."

    • 1

      In the case of unearned revenue, the cash is received first, and the revenue is earned later.

    • 2

      Unearned<br/>revenue is a liability and should be reported on the income<br/>statement.(<br/>)

    • 3

      Which of the following transactions would be recorded under accrual accounting but NOT under cash-basis accounting?

    • 4

      In the case of unearned revenue, the adjusting entry at the end of the period includes a credit to Service Revenue. Assume the unearned revenue is initially recorded as a liability.