Which accounting basis that records revenues

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Problem 1: The accounting basis that records revenues when goods or services are provided to customers and expenses with related revenues is referred to as:

Multiple Choice

Option 1: Cash-basis.

Option 2: Profit-basis.

Option 3: Accrual-basis.

Option 4: Reporting-basis.

Problem 2: The revenue recognition principle states that:

Multiple Choice

Option 1: Revenue should be recognized in the period the cash is received.

Option 2: Revenue should be recognized in the period goods and services are provided.

Option 3: Revenue should be recognized in the balance sheet.

Option 4: Revenue is a component of common stock.

Reference no: EM132671146

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