When it's highly uncertain whether customers will make the cash payments called for in a contract,then the sale itself is not the critical event in creating value.

Question

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If customers do not make the cash payments, the company may not receive the full value of the sale. Therefore, the critical event in creating value would be receiving the payments, not just the sale itself. If the payments are uncertain, the value created by the sale is also uncertain.

When It's Highly Uncertain Whether Customers Will Make the Cash