During 2019, Zigma Company earned service revenue amounting to $760,000, of which $625,000 was collected in cash; the balance will be collected in January 2020. Also in 2019, there were collections of cash prior to the delivery of goods/services totaling $10,400. What amount should the 2019 income statement report for service revenue?

$625,000

Explanation:

According to the revenue recognition principle, revenues can only be recognized whenever the service has been performed and not when the cash has been received. Therefore, Zigma Company should report $625,000 for service revenue in the 2019 income statement. $10,400 should not come as revenue because the company did not provide any services or sell any products.

answer; risk transference;

answer; ///(d); determining who competes most closely   with whom evaluating whether industry driving forces and competitive pressure favor some strategic groups and hurt others, and ascertaining whether the profit potential of different strategic groups varies due to the strengths and weaknesses in each groups respective market positions;