Is it correct for a school to report its revenue on the cash basis instead of the accrual method?
Yes, as long as this basis of accounting is clearly stated in the school's accounting policy.
Chapter 8 of the DBE guideline states: “If these guidelines specifically addresses a transaction, other event or condition, a school shall apply these guidelines. If these guidelines do not specifically address a transaction, other event or condition, the school’s SGB shall use its judgement in developing and applying an accounting policy that results in information that is relevant to the economic decision-making needs of users and is reliable”.