All of the following statements are true EXCEPT
A) a company that has multiple lines of business must consistently apply one revenue recognition policy for all types of revenue.
B) a company that has multiple lines of business can use different methods of revenue recognition for different products.
C) a company that has multiple lines of business must tell users what policies they are using so that that they can make informed decisions.
D) A company that has multiple lines of business must choose revenue recognition policies that are appropriate for their revenue streams.

Question

Quizplus · Accepted Answer

A company that has multiple lines of business can use different methods of revenue recognition for different products. This statement is true and contradicts option A, which states that a company must consistently apply one revenue recognition policy for all types of revenue. Therefore, option A is false, and the correct answer is option A.

All of the Following Statements Are True EXCEPT