IFRS and GAAP Will Sometimes Differ in the Method of Revenue

Multiple Choice

IFRS and GAAP will sometimes differ in the method of revenue recognition applied to construction contracts.Three different methods are involved: percentage of completion, cost recovery, and completed contract.The fastest to slowest revenue recognition among the methods is

A) percentage of completion; completed contract; cost recovery
B) completed contract; percentage of completion; cost recovery
C) percentage of completion; cost recovery; completed contract
D) cost recovery; percentage of completion; completed contract