The correct statement is:
A) If the 0.5 probability recognition criteria from the Framework were applied to revenue, it is likely that revenue would generally be recognised earlier in the operating cycle than at present
B) If the 0.5 probability recognition criteria from the Framework were applied to expenses, it is likely that expenses would generally be recognised earlier in the operating cycle than at present
C) If the 0.5 probability recognition criteria from the Framework were applied to revenue, it is likely that revenue would generally be recognised later in the operating cycle than at present
D) None of the statements is correct

Question

Quizplus · Accepted Answer

Applying a 0.5 probability recognition criteria to revenue would likely result in recognizing revenue earlier, as it lowers the threshold for recognition compared to more stringent criteria.

The Correct Statement Is