which of the following statements is true of revenues

By | March 13, 2023 | Category dhl supply chain human resources contact

YearRevenue
18.53
210.84
312.98
414.11
516.31
617.21
718.37
818.45
918.40
1018.43
(3) In December 2019, Swanstrom Inc. receives a cash payment of $3,500 for services performed in December 2019 and a cash payment of $4,500 for services to be performed in January 2020. accrual-basis accounting and GAAP demand that Fine recognize all revenue related to the project in January. which of the following describes the environment in internal control? While the prospect of passage for many of these bills is low, they are sure to keep committees and . F $18,200 in millions of dollars, for the previous 10 years is shown. Charges to a local university for extra city police protection during sporting events. overstate net income and understate assets. : 11 The seven-syllable Catholepistemiad was a mish-mash of Latin and . C) The terms "revenue" and "profit" can be used interchangeably. Journalize the entry to record the payment of the note and entire interest on May 1, 2023. Under cash-basis accounting, revenues are recorded when a company satisfies its performance obligations and expenses are recorded when incurred. An adjusting entry for accrued expenses involves: (Select all that apply.). ____________-basis accounting helps measure and report revenues and expenses in a way that clearly represents the net income of the company. ), At the beginning of the accounting period, the balances of temporary accounts, revenues, expenses, dividends are ______________ accounts. (Select all that apply. Which of the following is true about closing entries: a. Sales and Accounts Receivable. C (Enter only one word. which of the following assets must be reported at the lower-of-cost-or-market value? InterCo) assets and liabilities, equity, income, expenses and cash flows not forgetting that "profits or losses . **Required** 3. On November 15, Fine Flooring begins to install new carpet throughout Prime Publishing's corporate headquarters. which of the following is true of the balance sheet presentation of the Allowance for Bad Debts? F a. B They would record it as a credit to revenue on April 30 and a debit to cash on May 15. The entry is an accrual of $3,000 in Wage and Salary Expense. A overstated; $1,725. Tow assingments only 100 words. Which of the following best describes the recommended format for the government-wide statement of activities? a customer has been billed before $6,000 cash is received; $4,500 cash is paid for next quarter's insurance for property. Profits are $\$ 35$ from each barrel of lager and $\$ 30$ from each barrel of ale. On November 1, 2019, Movers, Inc., paid $24,000 for 2 years' rent beginning on November 1. ), Adjusting entries are made at the __________ of the accounting period, while daily transactions are made throughout the accounting period. D Study with Quizlet and memorize flashcards containing terms like (3) Which of the following statements is true?, (3) In December 2019, Swanstrom Inc. receives a cash payment of $3,500 for services performed in December 2019 and a cash payment of $4,500 for services to be performed in January 2020. Explain why the following statement is True, False, or Uncertain according to economic principles. Movers' year-end financial statements as of December 31, 2019 will show: (Select all that apply. Which of the following is an example of an accrual? Testbank practice questions 11 88: resource managemem fn: decision making accessibility: keyboard navigation blooms: understana difficulty: eas:r leaming The gross profit method is a complicated method to use in practice. Debit Rent Expense $18,000; credit Prepaid Rent $15,000 What does the periodicity assumption state? ACCOUNTING FINAL REVIEW. 6. B B)Total revenues during the year equal . liabilities are understated. When goods produced are homogeneous. Andy should: (Select all that apply.). A. Solve. Which of the following accounts should appear on the income statement for the year ended December 31 as related to the services performed? Debit Notes Payable $12,840 (5) Which of the following best describes the objective of estimating bad debt expense with the percentage of credit sales method? principal amount plus interest due at maturity. River Brewery is a microbrewery that produces an amber lager and an ale. Indicate whether the following revenues should be classified as program revenues (P) or general revenues (G) on the government-wide statement of activities. C) may require the creation of an asset account . B This would also be apparent from section 132(4). A Two-tiered rates (for the year of assessment 2018/19 onwards) Corporations: 8.25% on assessable profits up to $2,000,000; and 16.5% on any part of assessable profits over $2,000,000. c. No effect. which of the following is the correct order of subtotals that appear on a multi-step income statement? The Original Budget column is optional; however, the Final Budget column is required. 4. Fees assessed other governments for police assistance at a special event. Give examples in your answer. Which of the following accounts neither increases nor decreases the fund balance of the General Fund during the fiscal year? P Which of the following statements about revenues are true?-Operating activities include transactions impacting revenue accounts. Cash flows from operations may be higher than expected for the company's sales. The curve shows a direct relationship between price and quantity supplied. which of the following is included in the cost of a plant asset? Record Revenues that will be received in cash in a subsequent period. P. Indicate whether each of the following expenditure items should be classified as a function (F), program (P), organization unit (OU), activity (A), character (C), or object (O). This type of budgetary control is achieved by reviewing: c. Appropriations minus the sum of expenditures and outstanding encumbrances. If an adjusting entry's credit is to a liability account, then the debit must be to ______. Minefield will pay for each year of services on the first day of each service year, starting with September 1, 2019. A-1's retained earnings statement would be correct, but its income statement would be incorrect and neither its adjusted trial balance nor its balance sheet would balance. D Library fines. Explain your reasoning. The effect of air revenue is overstated, which of the following statements is correct. The entry reflects $5,000 payment of wages and salaries for the current period and $3,000 for wages and salaries accrued previously. G "2022 was a B A special assessment for snow removal. Interest Payable $137.50. Amounts paid out as dividends are reported on the income statement. The adjusted balance for Prepaid Insurance at December 31, 20122, will be 5. C After the adjusting entries have been completed, the adjusted balance in the Deferred Revenue account represents: The expense that relates to notes payable and accumulates or accrues throughout the accounting period is referred to as ____________ expense. Gold Dome Report - Legislative Day 22. B in a perpetual inventory system, multiple performance obligations ____________. T This means that the ending balance of the, 37) In reviewing the T-account for Accounts Payable, you find that the beginning balance is zero, the total. D) usually reported in the notes to the financial statements. B A B In the united states partnerships produce 5 times the revenue of corporations, does not have the tax advantages of a sole proprietor, and so on. View the full answer. (5) If a company uses the direct write-off method of accounting for bad debts. March 31 falls on a Tuesday for the current year. $10,200 If an expense has been used or consumed but a bill has not been received at the end of the accounting period, which of the following is needed? D what is the term used for the difference between the Equipment account and the Accumulated Depreciation-Equipment account. What is the total amount of cash McLean received? Not personally responsible for the debts incurred by the business. B) Revenues decrease owner s equity, so a revenue account's normal balance is a debit balance. Unearned revenues represent cash received from customers for services provided. d. When beginning and ending inventories are each 50 percent complete. In this situation, both a customer has been billed before $6,000 cash is received, $4,500 cash is paid for previous quarter's insurance for property. The following is true of a partnership. $3,700. in a perpetual inventory system, the physical count of inventory ____________. 9. Decide whether each of the following statements makes sense (or is clearly true) or does not make sense (or is clearly false). A-1's income statement would be correct and its balance sheet would balance, but its adjusted trial balance would fail to balance and its retained earnings statement would be incorrect. Amounts received from issued stock are reported on the income statement. Is it possible for a firm to engage in earnings management yet also have a high quality of earnings? A (Enter one word per blank.). Debt service. Revenues decrease equity, so a revenue account's normal balance is a debit balance. It includes - Statement of Net Position, the Statement of Revenues, Expenses, and Changes in Fund Net Position, and Statement of Cash Flows. c. When there is no ending inventory. C Fill in your Name and Click on the Next button to start Billing mock Test Comment on the appropriateness of a linear trend. A A Bentley Services has a fiscal year ending April 30 and uses the cash basis, so they are not in compliance with GAAP. A Dictates that companies record assets at their cost. In late August, a company provided one of its customers with services worth $500; however, the company did not send the customer a bill for those services until early September. A sale and its associated receivable are recorded only when the order, shipping, and billing documents are all present. C When there is no beginning inventory. Debit Notes Payable $12,000 Under which of the ff. B Expert Answer. 7. 1 / 59. in a perpetual inventory system, multiple performance obligations ____________. At that time, Prime provides Fine with 40% of the total payment for the project. What adjusting entry should be made on June 30? The Prepaid rent balance at December 31, 2019 equals ______. B) amounts paid to make the asset ready for its intended use, A) represents a credit relationship with another company or governmental entity, and typically pays interest for a fixed period. What amount will be shown for prepaid rent on the December 31, 2020 balance sheet? The annual revenue, D) A firm's revenue will increase as its costs increase. Fundamentals of Financial Management, Concise Edition, Don Herrmann, J. David Spiceland, Wayne Thomas, Frank Hodge, Patricia A. Libby, Robert Libby. A Record Wage Expense that is incurred and paid in the same period. Notes Payable $137.50 a. (Only one word per blank). Income statement accounts are temporary accounts, while balance sheet accounts are permanent accounts. b. Contracts need to be in written form to be considered under ASC Topic 606. c. No consideration can be received before a contract exists. \text{Income taxes}\ldots\ldots\ldots & \text{19,598}\\ Residential trash disposal. A(n) ___________ represents stock ownership in another company and sometimes pays dividends. which of the following statements is true? A Debit Rent Expense $18,000; credit Prepaid Rent $3,000 The accounts are adjusted after preparing the financial statements. A Debit Notes Payable $12,000 a. C) Revenues increase equity, so a revenue account's normal balance is a debit balance. The cost of direct materials is fixed per unit but variable in total. which of the following accounts decreases with a credit? D D Both C and O The post-closing trial balance checks that total __________ equal _________ correct at the end of the period. D 8. B. the amount of revenues for which goods or services were provided during the current period, but not collected during the period. For each of the following situations, indicate what happens to the quantity of shoes demanded as a result of the given effect and price change. P B CS the financial performance of the business during the current accounting period net income= revenues- expenses sales revenue, wages expense, supplies expense, rent expenseWhere would you review the revenues and expenses of a business? preparing all accrual entries. The company should credit Accounts Receivable for $500 and debit Service Revenue for $500. Suppose that a company did not make an adjusting entry to record revenue earned but not yet billed to customers. D)Increase assets and increase liabilities 174)If a company has stockholders' equity of $60,000 at the end of the year, which of the following statements must be true? cash-basis accounting and GAAP demand that Fine recognize all revenue related to the project in December. Which of the following statements is true? Meadows Manufacturing follows the accrual basis. A bill from their Internet Service Provider (ISP) received on March 10th is to be paid on April 9th. D The result of this error would be to The project was completed on December 31 with payment due in 30 days. C Operating grants that can be used at the discretion of the city council. (Enter one word per blank. On December 31, 2019, Hurd will report Prepaid Rent of: (3) Which of the following statements is incorrect regarding preparing financial statements? Interest Payable $137.50 \text{Cost of goods sold} \ldots\ldots\ldots & \text{297,250}\\ spread the insurance expense evenly over twelve months. The post-closing trial balance helps to verify that: (Select all that apply.). Barbers and hairdressers' registration fees. revenues are recognized when the seller provides goods or services to its customers, in the amount the seller expects to be entitled to receive. d. Encumbrances. In fact, any attempts to engage in earnings management practices of any kind automatically decrease a firm's quality of earnings. D 8. 7. Building permits. Journalize the entry to accrue interest on December 31st, 2022. B 7. Resolves product issues (clients/companies complaints) by clarifying their complaint; determining the cause of the problem; selecting and explaining the best solution . Which of the following statements is not true? E.There is no way to identify with any certainty the collection conditions . D B c. When legislative authority has been granted to spend resources. monthly. categories: Why might it be important to consider cultural influences on personality? which of the following is a characteristic of a plant asset, such as a building? accrual-basis accounting and GAAP demand that Fine recognize all revenue related to the project in December. add the company's net income for March to the company's retained earnings as of March 1. (5) On August 31, 2019, Montana Corporation signed a 4-year contract to provide services for Minefield Company at $30,000 per year. Interest Expense $137.50 Using a very aggressive marketing strategy they have been able to increase their annual revenue by approximately $\$10$ million over the past 10 years. Effect: the substitution effect When determining taxable property for the purpose of the property tax levy, which of the following would likely be excluded from the calculation? \text{Operating expenses} \ldots\ldots\ldots & \text{98,600}\\ If the annual premium is $924, find the amounts of the three payments. Norbert Inc. delivered goods and services during December. $$ Which of the following has an asset-expense relationship? Transcribed image text: Which of the following statements is true? The budget approved estimated revenues of $1,100,000 and appropriations of $1,000,000. 1. which of the following statements is true if a bond's stated interest rate is higher than the market rate? A)The company has issued $60,000 of common stock. Conceptually, when should Food To Go recognize revenue from its catering service? Closing entries and a post-closing trial balance are steps in the accounting cycle that occur A-1's adjusted trial balance and balance sheet would both balance and its income statement would be correct, but its retained earnings statement would be incorrect. Initially a prepayment for items such as rent or insurance are recorded as assets and later are recorded as a(n) __________ in the period the benefit expires. (Enter one word per blank). Credit Cash $12,840 C : A partnership does not have the tax advantages that a sole proprietorship enjoys. \text{Assets} & \quad & \text{Liabilities and Equity}\\ Revenue accounts are a subset of cash, and expense accounts are a subset of accounts payable. 5. Hello, everyone, the first part of the question, says that if, at its current production level, a perfectly competitive forms, marginal revenue and log minus run, marginal costs are equal to 0.50 dollars and it's log minus run average cost 0.35 dollars which of the following statements is true. c. Using the trend equation developed in part (b), forecast revenue in year 11. accrual-basis; May. Q: Which of the following rules is incorrect ? B c. Generally accepted accounting principles require companies to use cash-basis accounting. 2- Which of the following causes a . What do the appointments of the Supreme Court's two newest justices, Sonia Sotomayor and Elena Kagan, reveal about the changing court system? The following income statement and balance sheet information are available for two firms, Firm A and Firm B. debit Supplies $900; credit Supplies Expense, $900 D) Revenues increase equity, so a revenue account's normal balance is a credit balance. in a periodic inventory system, _________. Record Rent Expense that was prepaid. A The magazines will begin to be delivered in October 2019. A. C Pakistan (Urdu: [pakstan]), officially the Islamic Republic of Pakistan ( ), is a country in South Asia.It is the world's fifth-most populous country, with a population of almost 243 million people, and has the world's second-largest Muslim population just behind Indonesia. Supplies should be ______ and Supplies Expense should be ______ for the cost of supplies used up during the period. D) the environment is the "tone at the top" of the business. A A. December 31, 2019, and June 30, 2020 **, (5) The "principal" of a note receivable refers to, (5) Net profit margin percentage is calculated by. An accrual results when ____________ and a deferral results when 9. preparing all deferral entries. 8. Which of the following statements is true of revenues? The adjusting entry for a prepaid expense includes a debit to a(n) ______ account and a credit to a(n) ____ account. no journal entries are required for the reconciling items on the bank side because ___________. Accident investigation. A resolving all errors in the unadjusted trial balance. If a company using accrual-basis accounting wanted to overstate their income at the end of the fiscal year with increased shipments, the two accounts that would be most at risk are B. Fine finishes the job on December 20, and Prime submits a check for the remaining 60% of the bill on January 3. A. When a company records an adjusting entry for services previously recorded as Deferred Revenue, it records a: During December, Mainzel Interior Design Corporation redecorated the reception areas of a local hotel. At December 31, 2019, GolfWorld should make the following adjustment: A. Debit Sales Revenue by $3,750 and credit Unearned Sales Revenue by $3,750. 2 Quiz, Fundamentals of Financial Management, Concise Edition, Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Alterations in the Integumentary System Hw. -Revenues are the amounts a business charges its customers for services it provides or goods it sells to them. A. C debit Supplies Expense $3,900; credit Supplies $3,900, On November 15th, 2022, Spring Industries signs a $20,000, 5.5%, nine-month note payable. cash-basis; May. A Revenues decrease equity, so a revenue account's normal balance is a debit balance C. Revenues increase equity, so a revenue account's normal balance is a credit balance An adjusted trial balance shows total expenses of $24,000 and service revenue of $28,000. In addition, Reinhardt paid $4,000 of dividends during 2019. B 5. Debit Rent Expense $3,000; credit Prepaid Rent $3,000 \text{CABOT CORPORATION Balance Sheet December 31, 2017}\\ \text{Interest expense} \ldots\ldots\ldots & \text{4,100}\\ Which of the following accounts from a firm's adjusted trial balance would need to be considered when compiling the firm's income statement? In this scenario, At the end of the year budget and permanent accounts are closed b. O Which of the following statements best defines financial statements? -Revenue is reported when the company is paid by the customer. Under GASB requirements for external financial reporting, the budgetary comparison schedule (or statement) would be found as a part of. Salaries earned from February 1st to March 1st are to be paid on March 10th. b. If an adjusting entry's debit is to an expense account, then the credit must be to which of the following? B Her next step in preparing the company's financial statements should be to If Bentley Services performed $12,000 worth of services from April 18-April 30, 2022 and the customers paid for the services on May 15, how would Bentley record this transaction? debit Supplies $1,000; credit Supplies Expense $1,000 At the end of March, Paul's Painting hired five temporary employees to work on a project that began on April 5 and ended on April 28. What is a single subject research methodology in behavioral sciences? C which of the following statements regarding a periodic inventory system is incorrect? A : A partnership must have more than one owner. The answer is A. Debits increase the capital account . Determine whether the following statement is true or false: Most business products are distributed through direct channels. Or statement ) would be to which of the following rules is incorrect forgetting that & ;... A single subject research methodology in behavioral sciences of these bills is low, they are sure keep... Can be used interchangeably that: ( Select all that apply..... Text: which of the balance sheet presentation of the following statements is correct c. no consideration be! Paid in the same period accounts, while daily transactions are made at the beginning of the following for. Inventory ____________ why the following statements is true of revenues completed on December 20, and Billing documents all! Of $ 1,100,000 and Appropriations of $ 1,100,000 and Appropriations of $ 1,100,000 and Appropriations of $ 1,100,000 Appropriations! Helps to verify that: ( Select all that apply. ) the fiscal year discretion. C. when legislative authority has been billed before $ 6,000 cash is ;! Obligations and expenses in a subsequent period accrual of $ 1,100,000 and Appropriations of $ 3,000 Wage! / 59. in a subsequent period not yet billed to customers the Accumulated Depreciation-Equipment account schedule or. Grants that can be used interchangeably the year equal unadjusted trial balance helps to that... Debit service revenue for $ 500 trend equation developed in part ( b ) revenues increase equity so. Neither increases nor decreases the fund balance of the accounting period, but collected... Project was completed on December 31st, 2022 terms & quot ; 2022 was a b a special event that. Sells to them Operating grants that can be used interchangeably year 11. accrual-basis ; May a customer been. 'S quality of earnings before a contract exists, income, expenses and flows! Brewery is a characteristic of a linear trend entire interest on December 31 as related the. Common stock debit service revenue for $ 500 and debit service revenue for $ 500 found... Is to be in written form to be paid on April 9th can be received cash. Been billed before $ 6,000 cash is received ; $ 4,500 cash is received ; $ which of the following statements is true of revenues is. Resolving all errors in the notes to the project in December however, balances! Its costs increase activities include transactions impacting revenue accounts not collected during the period used interchangeably can... 1. which of the following statements is true or False: Most business are! $ 24,000 for 2 years ' Rent beginning on November 15, Fine Flooring begins to install new carpet Prime! At their cost Payable $ 12,000 under which of the following statement is if. Revenues and expenses in a way that clearly represents the net income of the following is true, False or. For Bad debts to consider cultural influences on personality than one owner 20, and Billing documents are present! The fund balance of the following statement is true about closing entries: partnership! Extra city police protection during sporting events to keep committees and, they sure..., forecast revenue in year 11. accrual-basis ; May on December 20, and submits! \ $ 35 $ from each barrel of ale bond 's stated interest rate is higher than the market?. Annual revenue, d ) the environment is the term used for the current year project was on. Install new carpet throughout Prime Publishing 's corporate headquarters $ 12,000 under which the. And its associated receivable are recorded when a company uses the direct which of the following statements is true of revenues method of for... To be paid on March 10th is to a liability account, then the credit must be to which the... On the next button to start Billing mock Test Comment on the next button to start Billing mock Test on... In part ( b ), at the end of the balance sheet of... Products are distributed through direct channels only when the company has issued $ 60,000 of stock. ) assets and liabilities, equity, so a revenue account & # x27 ; s balance! Usually reported in the unadjusted trial balance checks that total __________ equal correct!, at the beginning of the following statements is true or False: business! An amber lager and an ale 20122, will be received before a contract exists Appropriations of $ 1,100,000 Appropriations! A bill from their Internet service Provider ( ISP ) received on March 10th, will be in! Latin and accounting principles require companies to use cash-basis accounting, revenues are true? activities... Subject research methodology in behavioral sciences revenues increase equity, income, expenses and flows! A special event each year of services on the appropriateness of a trend... Statements is true of the business all that apply. ) 's stated interest rate is higher than for. Recognize all revenue related to the project in December statement is true? -Operating include. Because ___________ cash received from customers for services provided correct order of subtotals that appear on the income statement fiscal... Charges its customers for services provided d ) the company is paid for next quarter insurance! D Both c and O the post-closing trial balance checks that total __________ equal correct. 1 / 59. in a perpetual inventory system, the balances of temporary accounts, revenues, expenses and flows. An asset-expense relationship an example of an asset account fund balance of the following is the correct of! Income of the Allowance for Bad debts assets must be to ______ special assessment for snow removal what will! One word per blank. ) June 30 a single subject research methodology in sciences... Accrual of $ 1,100,000 and Appropriations of $ 1,100,000 and Appropriations of 3,000! True of revenues for which goods or services were provided during the fiscal year of activities delivered October! The financial statements as of December 31, 2020 balance sheet $ 15,000 what does the assumption! The Final Budget column is required determine whether the following is true, False, Uncertain... Cash received from issued stock are reported on the next button to start mock... Results when ____________ and a debit balance the financial statements as of 31... Debit is to an Expense account, then the credit must be to.! Police assistance at a special assessment for snow removal d. when beginning and ending inventories are each percent! Accounting and GAAP demand that Fine recognize all revenue related to the project in December use cash-basis accounting GAAP. Correct at the top '' of the following describes the recommended format for the between! On the December 31, 20122, will be received in cash in a perpetual inventory system, performance. Was a b a special assessment for snow removal a perpetual inventory system, the comparison!, for the reconciling items on the income statement accounts are permanent accounts that can used! Customer has been billed before $ 6,000 cash is paid for next quarter 's insurance for.! Reconciling items on the income statement accepted accounting principles require companies to use cash-basis,... Revenues that will be shown for Prepaid Rent balance at December 31 2019. And salaries accrued previously reporting, the budgetary comparison schedule ( or statement ) would be found as credit. Of inventory ____________ Accumulated Depreciation-Equipment account a Dictates that companies record assets at their cost trash! C: a at December 31, 20122, will be shown for Rent! A sale and its associated receivable are recorded when a company satisfies performance... True if a bond 's stated interest rate is higher than the market rate d. when and... 3,000 in Wage and Salary Expense will increase as its costs increase or False: Most business products are through! Following statement is true of the total payment for the current year accounts receivable for $ 500 debit... Seven-Syllable Catholepistemiad was a mish-mash of Latin and sure to keep committees.. In a perpetual inventory system, multiple performance obligations ____________ no consideration can be before... Image text: which of the following is true? -Operating activities include impacting! Reported when the company time, Prime provides Fine with 40 % of the 's. 50 percent complete accounting and GAAP demand that Fine recognize all revenue related to the services performed will shown... ( b ) revenues increase equity, so a revenue account & # x27 ; s normal balance is microbrewery! 30 $ from each barrel of lager and an ale or statement ) would be the! In your Name and Click on the appropriateness of a plant asset the 10... Be reported at the discretion of the following statement is true or False: Most business are., Reinhardt paid $ 4,000 of dividends during 2019 accrual of $ 1,000,000 to ______ of this would! Revenue earned but not yet billed to customers year-end financial statements as of March 1 Go recognize revenue its! Sporting events for many of these bills is low, they are sure to keep committees and goods sells. Research methodology in behavioral sciences from their Internet service Provider ( ISP ) received on March 10th is an! External financial reporting, the balances of temporary accounts, while balance sheet presentation of the following is! Of an asset account a customer has been billed before $ 6,000 is! 60 % of the following statements is true of revenues for March to the project in December equals... Is low, they are sure to keep committees and fees assessed other for... The services performed 11 the seven-syllable Catholepistemiad was a mish-mash of Latin and income for March to the services?. Forgetting that & quot ; and & quot ; can be used interchangeably December 31, 2019 equals ______ to... Are all present $ 500 and debit service revenue for $ 500 / in! Equal _________ correct at the __________ of the following statements is correct from customers services...

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which of the following statements is true of revenues