Question 13 of 23beginner🧠 RememberFill in the Blanks1 mark
Revenue is generally recongnised at the point of sale denotes the concept of _____.
Correct Answer
Revenue Recognition
Exercise: Test Your Understanding - II | Q: 3 | (Chapter: 11)
For More Understanding
Explanation
The provided text explicitly titles section '2.2.7' as the 'Revenue Recognition (Realisation) Concept'. It further states that 'The concept of revenue recognition requires that the revenue... should be included... only when it is realised.' Additionally, it clarifies that 'revenue is recognised when a sale is complete or service is rendered', which aligns perfectly with the 'point of sale' mentioned in the question.