The revenue recognition principle says that earnings may not be reported until the earnings cycle is completed.

Name: The revenue recognition principle says that earnings may not be reported until the earnings cycle is completed.
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The revenue recognition principle states that revenue should be recognized when it is earned, regardless of when payment is received or due. This means that earnings may be reported before the earnings cycle is completed, as long as the revenue has been earned.

The Revenue Recognition Principle Says That Earnings May Not Be