Under IFRS, when do firms recognize income on the income statement?
A.
Under IFRS, income is recognized on the income statement when the following two criteria are met: (1) an increase in future economic benefits related to an increase in an asset or a decrease of a liability has arisen and (2) it can be measured reliably.
B.
Under IFRS, income is recognized on the income statement when the following two criteria are met: (1) an increase in future economic benefits related to an increase in an asset or a decrease of a liability has arisen and (2) it is relevant.
C.
Under IFRS, income is recognized on the income statement when it is relevant.
D.
Under IFRS, income is recognized on the income statement when the entity's economic benefits are consumed in the process of producing or delivering goods or rendering services
ANSWER A