level: Revenue Recognition
Questions and Answers List
level questions: Revenue Recognition
| Question | Answer |
|---|---|
| Principal vs Agent Relationship: Which revenue gets reported? | Principal: Gross Revenue Agent: Net Revenue |
| When is revenue recognized in Repurchase Arrangements? | Never, it is not a sale/revenue. |
| When is revenue recognized in Bill-and-Hold Agreements? | When it is delivered. EXCEPTION: When designated by the other party for a good reason |
| When is revenue recognized on Consignment? | When the items are sold |