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Which of the following is true about revenue recognition under ASU 2014-09? Multiple Choice The realization...

Which of the following is true about revenue recognition under ASU 2014-09?

Multiple Choice

  • The realization principle guides the ASU.

  • Construction contracts are typically broken into the various separate goods and services that are included in them for purposes of revenue recognition.

  • The time value of money is considered when estimating all transaction prices.

  • Collectibility of the receivable is considered when determining whether revenue can be recognized.

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Answer #1
Option D is the answer

Under ASU 2014-09, collectability of the receivable is considered in determination whether the revenue can be recognized or not.

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