Neco Model Questions Vol1 2025 Financial Accounting Question 2

Practice objective / multiple choice question 2 from the 2025 Neco Model Questions Vol1 Financial Accounting examination.

Neco Model Questions Vol1 2025 Financial Accounting Objective / Multiple Choice Easy Difficulty
Question 2 NECO_MODEL_QUESTIONS_VOL1 • 2025 • FINANCIAL_ACCOUNTING • objective

A company provides consulting services in December and receives cash for the services in January of the following year. Under which accounting concept should the revenue be recognized in the financial statements for the year ended December?

Answer Options

A. Conservatism concept (prudence principle)
B. Cash concept (cash‑basis accounting)
C. Matching concept (expense‑recognition principle)
Correct Answer D. Accrual concept (revenue‑recognition principle)
Correct Answer
D
Correct Option:
Accrual concept (revenue‑recognition principle)

About This Question

This is Neco Model Questions Vol1 2025 Financial Accounting Question 2. It is one of the objective questions from the 2025 Neco Model Questions Vol1 Financial Accounting examination.

Difficulty level: Easy .

View More Neco Model Questions Vol1 2025 Financial Accounting Questions More Neco Model Questions Vol1 Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support