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waldruphope3956
04.09.2020 •
Business
Significant noncash investing and financing activities are disclosed because they
a. are classified as an extraordinary item. b. occur in the normal course of business. c. provide more complete information.
d. are part of operating activities. bon
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Ответ:
C.when cash is received, either prior to, at the time of, or after the services are performed
Explanation:
Under the cash basis accounting, the revenue is recognized at the time when the cash is received. It can be at the time before the service performed or after the service is performed. It only involves cash transactions.
The cash basis of accounting reports the revenue earned and the expenses incurred that occurred in cash transactions only.