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NEW QUESTION: 1
When deciding how to set up the system to recognize revenue, it is important to understand the extent of revenue deferral and the subsequent timing of revenue recognition.
Which two statements are true when you consider that recognition depends on the nature of the contingency? (Choose two.)
A. Payment-based contingencies do not always require payment before the contingency can be removed and revenue recognized.
B. Time-based contingencies must not expire before the contingency can be removed and revenue recognized.
C. Pre-billing customer acceptance clauses require the recording of customer acceptance in the feeder system, or its expiration, before importing into Receivables for invoicing. Customer acceptance or its expiration must occur before the contingency can be removed and the order can be imported into Receivables for invoicing.
D. Post-billing customer acceptance clauses must expire (implicit acceptance), or be manually accepted (explicit acceptance), before the contingency can be removed and revenue recognized.
E. Time-based contingencies can expire, but the contingency will have to be removed manually before the revenue is recognized if payment is not due yet.
Answer: C,D
Explanation:
Explanation/Reference:
Explanation:
The extent of the revenue deferral, and the subsequent timing of revenue recognition, depends on the nature of the contingency:
Post-billing customer acceptance clauses must expire (implicit acceptance), or be manually accepted (explicit acceptance), before the contingency can be removed and revenue recognized.
Pre-billing customer acceptance clauses require the recording of customer acceptance in the feeder system, or its expiration, before importing into Receivables for invoicing. Customer acceptance or its expiration must occur before the contingency can be removed, and the order can be imported into Receivables for invoicing.
Incorrect Answers:
A: Time-based contingencies must expire before the contingency can be removed and revenue recognized.
B: Payment-based contingencies require payment before the contingency can be removed and revenue recognized.
References: https://docs.oracle.com/cd/E60665_01/financialscs_gs/FAIRP/ FAIRP1476595.htm#FAIRP605453
NEW QUESTION: 2
A. Option A
B. Option E
C. Option F
D. Option C
E. Option D
F. Option B
Answer: E
NEW QUESTION: 3
%LINK-3-UPDOWN: Interface FastEthernet0/1, changed state to up
%LINEPROTO-5-UPDOWN: Line protocol on Interface FastEthernet0/1, changed state to up
A. Option A
B. Option C
C. Option D
D. Option B
Answer: C