Identify which accounting principle or assumption best describes each of the following practices a If $51,000 cash is paid to buy land, the land is reported on the buyers balance sheet at $51,000 b Alissa Kees owns both Sailing Passions and Dockside Supplies In preparing financial statements for Do...

Identify which accounting principle or assumption best describes each of the following practices: a. If $51,000 cash

Question:

Identify which accounting principle or assumption best describes each of the following practices:
a. If $51,000 cash is paid to buy land, the land is reported on the buyer’s at $51,000.
b. Alissa Kees owns both Sailing Passions and Dockside Supplies. In preparing for Dockside Supplies, Kees makes sure that the expense transactions of Sailing Passions are kept separate from Dockside’s transactions and In December 2010, Ace Landscaping received a customer’s order and cash prepayment to install sod at a new house that would not be ready for installation until March 2011. Ace should record the revenue from the customer order in March 2011, not in December 2010.

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...