Defer revenue until the customer pays for the merchandise

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Mendes Company sells merchandise to customers. Mendes should normally recognize: a. expenses in the period the merchandise is sold and defer revenue until the customer pays for the merchandise. b. revenue when the cash is collected and the expenses when Mendes pays its creditor for the merchandise. c. revenue and expenses after all payments are collected. d. revenue and the related expenses in the same accounting period as earned whether payment is received or not.

Reference no: EM131222979

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