| Read 'Chapter 1: Points of Controversy' & answer the following question(s): |
| 1. | The revenue recognition principle provides that revenue is recognized when |
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| 2. | When goods or services are exchanged for cash or claims to cash (receivables), revenues are |
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| 3. | When the entity has substantially accomplished what it must do to be entitled to the benefits represented by the revenues, revenues are |
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| 4. | Revenue is recognized when |
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| 5. | The completed performance method should be used to recognize revenue upon completing |
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| 6. | The _____________ method is used to recognize revenue when there is significant uncertainty regarding the collection of revenue. |
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| 7. | Instead of paying monthly, customers may pay an annual fee of $1,200 in advance. For a customer who pays the annual fee in advance, a company should recognize the related revenue |
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| 8. | The criteria for recognition of revenue at completion of production of precious metals and agricultural products do not include |
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| 9. | The installment method of recognizing profit for accounting purposes is acceptable if |
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| 10. | The installment method of accounting requires that gross profit on an installment |
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| 11. | Under the cost recovery method of revenue recognition, |
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| 12. | Winser, Inc. is engaged in extensive exploration for water in Utah. If, upon discovery of water, Winser does not recognize any profit from water sales until cash collections exceed the exploration costs, the basis of revenue recognition being employed is the |
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| 13. | The principal disadvantage of using the percentage-of-completion method of recognizing revenue from long-term contracts is that it |
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| 14. | In selecting an accounting method for a newly contracted long-term construction project, the principal factor to be considered should be |
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| 15. | The profession requires that the percentage-of-completion method be used when certain conditions exist. Which of the following is not one of those necessary conditions? |
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| 16. | When work to be done and costs to be incurred on a long-term contract can be estimated dependably, which of the following methods of revenue recognition is preferable? |
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| 17. | Cost estimates on a long-term contract may indicate that a loss will result on completion of the entire contract. In this case, the entire expected loss should be |
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| 18. | Under the completed-contract method |
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| 19. | A sale should not be recognized as revenue by the seller at the time of sale if |
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| 20. | According to AICPA Statement of Position No. 97–2, Software Revenue Recognition, revenue should be recognized when the contract for software does not involve major production, alteration, or customization. Which of the following is not one of the conditions? |
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| Read 'Chapter 2: Financial Restatements' & answer the following question(s): |
| Read 'Chapter 3: Rules, Concepts and Illustrations' & answer the following question(s): |
| Read 'Chapter 4: Revenue Recognition Methods' & answer the following question(s): |
| Read 'Chapter 5: Long Term Construction Contracts' & answer the following question(s): |
| Read 'Chapter 6: Common Construction Contract Methods' & answer the following question(s): |
| Read 'Chapter 7: Government Contract Accounting' & answer the following question(s): |
| Read 'Chapter 8: Revenue Recognition when a Right of Return Exists' & answer the following question(s): |
| Read 'Chapter 9: Vendor Consideration to Customer' & answer the following question(s): |
| Read 'Chapter 10: Government Contract Accounting' & answer the following question(s): |
| Read 'Chapter 11: Government Contract Accounting' & answer the following question(s): |
| Read 'Chapter 12: Glossary' & answer the following question(s): |
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