Unconditional rights to receive consideration because a performance obligation has been satisfied are
A)reported as a receivable on the statement of financial position.
B)reported as a contract asset on the statement of financial position.
C)reported as a contract liability on the statement of financial position.
D)are not reported on the balance sheet.

Question

Quizplus · Accepted Answer

Unconditional rights to receive consideration after satisfying a performance obligation are reported as a receivable on the statement of financial position because the entity has a right to payment that is not contingent on any further performance.

Unconditional Rights to Receive Consideration Because a Performance Obligation Has