ACC 561 Week 2 Discussion 1

ACC 561 Week 2 Discussion 1 | Assignment Help | University Of Phoenix 

Week 2 Discussion – Revenue Recognition and Expense Recognition

Post a total of 3 substantive responses over 2 separate days for full participation. This includes your initial post and 2 replies to other students. Under the accrual basis accounting, revenues and expenses are recognized by the following principles: 

·         Revenue recognition: Revenue is recognized when both of the following conditions are met: Revenue is earned and Revenue is realized or realizable. 

·         Expense recognition: Expense is recognized in the period in which related revenue is recognized (this is also known as the Matching Principle). 

Respond to the following in a minimum of 175 words: 

·         Discuss when the requirements of the revenue recognition principle are usually met. Give an example.

·         Discuss when the requirements of the expense recognition principle are usually met. Give an example.

 

Reply to at least 2 of your classmates. Be constructive and professional in your responses.