The converged standard on revenue recognition
A)reduces the number of disclosures required for revenue reporting.
B)increases the complexity of financial statement preparation.
C)recognizes and measures revenue based on changes in assets and liabilities.
D)simplifies revenue recognition practices across entities and industries.

Question

Quizplus · Accepted Answer

The converged standard on revenue recognition, known as IFRS 15 or ASC 606, focuses on recognizing and measuring revenue based on changes in assets and liabilities, aligning with the core principle of recognizing revenue when control of goods or services is transferred to the customer.

The Converged Standard on Revenue Recognition