Which of the following statements applies to the two-event view of past event recognition?
A)It would recognize a transaction as occurring when an offer of early retirement is made to employees.
B)It would be more reliant upon probabilistic estimates than the one-event view.
C)It is faster than the one-event view.
D)It is consistent with the asset and liability views of SFAC No. 6.

Question

Quizplus · Accepted Answer

The two-event view of past event recognition is consistent with the asset and liability views of SFAC No. 6 because it recognizes a transaction when both an asset and a liability are created or extinguished.

Which of the Following Statements Applies to the Two-Event View