Revenue recognition is a generally accepted accounting principle (GAAP) that identifies the specific conditions in which revenue is recognized and determines how to account for it. The revenue recognition principle, a feature of accrual accounting, requires that revenues are recognized on the income statement in the period when realized and earned—not necessarily when cash is received. Having a standard revenue recognition guideline helps to ensure that an apples-to-apples comparison can be made between companies when reviewing line items on the income statement. Revenue recognition principles within a company should remain constant over time as well, so historical financials can be analyzed and reviewed for seasonal trends or inconsistencies.
PRODUCT NAME | SW SCORE (OUT OF 100) | AGGREGATED RATINGS (OUT OF 5) |
---|---|---|
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98 | 4.3 |
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98 | 4.2 |
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97 | 4.3 |
![]() |
96 | 3.5 |
![]() |
94 | 4.6 |
![]() |
93 | 4.4 |
![]() |
92 | 4.4 |
![]() |
91 | 4.5 |
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91 | 2.6 |
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90 | 4.5 |