Chap tờ 10 phải thu và doanh thu

73. 73. Revenue is realized when a product or service is exchanged for inflows or other enhancement of assets

• True

• False

74) Accounting standards require entities to follow a five-step approach for recognizing revenue.

• True

• False

75) Channel stuffing is an improper practice used to boost sales by inducing distributors to buy more inventory than they can promptly resell.

• True

  
  

• False

  
  

76) The return of vendor purchases is a part of the revenue process.

• True
  

• False
  

78) A remittance advice is used to track purchases.

• True

• False

79) Order entry is the initial function in the revenue cycle

• True
  

• False
  

80) Credit authorization is used to determine if a customer is able to pay for goods.

• True
  

• False
  

81) A negative confirmation requests that customers respond whether they agree or not with the amount due to the entity stated in the confirmation.

• True

• False

82) A positive confirmation requests that customers respond whether they agree or not withthe amount due to the entity stated in the confirmation

• True

  
  

• False

  
  

1) In general, revenue is recognized when:

• A) goods are shipped.

• B) an entity satisfies a performance obligation.

• C) it is recorded in the sales journal.

• D) it is received in cash.