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    5. Which accounting principle requires that revenue is recognized when a sale is made or a service is p

    Question

    Which accounting principle requires that revenue is

    recognized when a sale is made or a service is provided?
    A Time period principle Correct Answer Incorrect Answer
    B Accrual basis Correct Answer Incorrect Answer
    C Realization principle Correct Answer Incorrect Answer
    D Matching principle Correct Answer Incorrect Answer

    Solution

    The realization principle requires that revenue is recognized when a sale is made or a service is provided.

    Practice Next
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    Relevant for Exams:

    • UPSC EPFO (APFC)
    • UPSC

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