ACCTG 326 ACTUAL UPDATED QUESTIONS AND CORRECT ANSWERS
Which of the following is an indicator that revenue for a The seller is enhancing an asset that the buyer controls as the service is
service can be recognized over time performed
Which of the following is a separate performance An extended warranty.
obligation
Uncertain consideration %-%= % youll use
x+y= z
z*% you found= consideration
allocation of the transaction price to performance Is based on relative standalone selling price
obligations
For profitable long-term contracts, income is recognized Overtime accoridng to percentage of completion
in each year when revenue is recognized:
When accounting for a long-term construction contract Construction in progress
for which revenue is recognized over time according to
the percentage of completion, gross profit is recognized
in any year is debited to:
Lorette sells $10,000 of product to KiethCo, and also $9,500
purchases $2,000 of cleaning services from KiethCo. The Difference between the purchase and the fair value is $500... she lost $500 on that
cleaning services have a fair value of $1,500. Lorette so take that off of the $10,000 sale
should record revenue on its sale of product to KiethCo
of:
Which of the following is an indicator that revenue for a The seller is enhancing an asset that the buyer controls as the service is
service can be recognized over time performed
Which of the following is a separate performance An extended warranty.
obligation
Uncertain consideration %-%= % youll use
x+y= z
z*% you found= consideration
allocation of the transaction price to performance Is based on relative standalone selling price
obligations
For profitable long-term contracts, income is recognized Overtime accoridng to percentage of completion
in each year when revenue is recognized:
When accounting for a long-term construction contract Construction in progress
for which revenue is recognized over time according to
the percentage of completion, gross profit is recognized
in any year is debited to:
Lorette sells $10,000 of product to KiethCo, and also $9,500
purchases $2,000 of cleaning services from KiethCo. The Difference between the purchase and the fair value is $500... she lost $500 on that
cleaning services have a fair value of $1,500. Lorette so take that off of the $10,000 sale
should record revenue on its sale of product to KiethCo
of:
