Unformatted text preview: Operating Cycle (Cash-to-Cash Cycle) The time it takes for a company to pay cash to suppliers, sell those goods and services to customers, and collect cash from customers. Revenue Principle Revenues are recognized when goods or services are delivered, there is evidence of an arrangement for customer payment, the price is fixed or determinable, and collection is reasonably assured. Revenues Increases in assets or settlements of liabilities from ongoing operations. Time Period Assumption The long life of a company can be reported in shorter time periods....
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- Spring '08
- Revenue, Generally Accepted Accounting Principles, accounting records revenues, Basis Accounting Records