Under IFRS income is recognized simultaneously with ________.
A)increases in assets and increases in liabilities
B)decreases in assets and increases in liabilities
C)increases in assets and decreases in liabilities
D)decreases in assets and decreases in liabilities

Question

Quizplus · Accepted Answer

According to IFRS, income is recognized simultaneously with increases in assets and decreases in liabilities. This is because income is generated when there is an increase in economic benefits (assets) or a decrease in economic obligations (liabilities). Therefore, option C, which states that income is recognized simultaneously with increases in assets and decreases in liabilities, is the correct answer. The other options are not consistent with the principles of IFRS.

Under IFRS Income Is Recognized Simultaneously with ________