In determining the profit of an entity which of the following measurement principles states that revenue and

Question:

In determining the profit of an entity which of the following measurement principles states that revenue and expenses are recognised as they are earned or incurred and not as money is received or paid?

(a) Prudence

(b) Accruals

(c) Consistency

(d) Completeness

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Financial Accounting

ISBN: 9781292244471

8th Edition

Authors: Pauline Weetman

See More Books

Question Posted: Mar 05, 2024 04:01 AM

See More Questions

The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1-5. Ivan's grandfather died and left a portfolio of municipal bonds. In 2012, they pay Ivan...
In determining the profit of an entity, which of the following measurement principles states that it is assumed the enterprise will continue in operational existence for the foreseeable future? (a)...
Read the case study "Southwest Airlines," found in Part 2 of your textbook. Review the "Guide to Case Analysis" found on pp. CA1 - CA11 of your textbook. (This guide follows the last case in the...
The Best Buy Co. Inc. 10-K report has the following footnote related to leasing activities. The future minimum lease payments under our capital and operating leases by fiscal year (not includ- ing...
An article in the Economist quotes the finance minister of Peru as saying, "We are one of the most open economies of Latin America." What did he mean by Peru being an "open economy"? Is fiscal policy...
Activities: Foundations: Incurred cost 2 4 0 0 , actual % complete 1 0 0 % Floor: Incurred cost 1 5 0 0 , actual % complete 1 0 0 % Building: Incurred cost 2 7 0 0 , actual % complete 5 0 %...
An air standard diesel cycle has a compression ratio of 16. The pressure at the beginning of compression stroke is 1 bar and the temperature is 20C. The maximum temperature is $1430 C$. Determine...
This case provides a comprehensive and realistic review of WACC computations and some of the theoretical questions related to the WACC and its uses. 1. Compute the yield to maturity and the after-tax...
Watch the video of the Frontline documentary about questionable police shootings by the New Orleans Police Department in the wake of Hurricane Katrina. Develop an essay that discusses the possible...
Table 1 shows Apple's online orders for the last week. When shoppers place an online order, several "recommended products" (upsells) are shown as at checkout an attempt to upsell See table 2 in cell...
Which of the following statements is correct? (a) The Financial Reporting Council is a UK government department. (b) The Financial Reporting Council is the UKs independent regulator for corporate...
Which of the following statements about the UK Corporate Reporting Council is/are correct? (i) The aims of the UK Corporate Reporting Council are to establish and improve standards of financial...
Ace Company has the following (unadjusted) amounts in its accounts as of December 31: Cost of goods sold ..... $100,000 Finished goods inventory ... $75,000 Raw materials inventory .. $50,000...
Under the commerce clause, Congress can regulate a. any commercial activity in the United States. b. any noncommercial activity in the United States. c. both a and b. d. none of the above.
Of the three branches of the federal government provided by the Constitution, the branch that makes the laws is a. the administrative branch. b. the executive branch. c. the judicial branch. d. the...
The Bill of Rights protects individuals against types of interference by the federal government only. (True/False)
Police officer Malik arrests John on suspicion of embezzlement. Malik advises John of his rights. He informs John a. that John has the right to remain silent. b. that John has the right to consult...
If a tax is reasonable, it is within the federal taxing power. (True/False)
Preparing an inventory purchases budget and schedule of cash payments Spratt, Inc., sells fireworks. The company's marketing director developed the following cost of goods sold budget for April, May,...
Express mass density in kg/m3 and weight density in lb/ft3. 1. Find the mass density of a chunk of rock of mass 215 g that displaces a volume of 75.0 cm3 of water. 2. A block of wood is 55.9 in. x...
The Sycamore Company has inventories which include the following four items: What amount should be reported as total inventory in respect of these three items? Purchase cost Selling price Cost of...
The Sycamore Company has inventories which include the following four items: What amount should be reported as total inventory in respect of these three items? Purchase cost Selling price Cost of...
The Sycamore Company has inventories which include the following four items: What amount should be reported as total inventory in respect of these three items? Purchase cost Selling price Cost of...
Courtney's insurance company has a capital structure of 45% debt, 15% preferred stock and 40% common stock. Its cost of equity is 12%, the cost preferred stock is 8%, and its cost of debt is 4%. The...
A company produced and sold 12,200 units in its first year of operations. The sales price is $310 per unit. Fixed costs include overhead of $390,400 per year, and selling and administrative expenses...
Complete the schedule of the company's total costs and costs per unit as given in the relevant tab below. (Round the per unit variable cost and fixed cost to 2 decimal places.) Units Produced and...

In determining the profit of an entity which of the following measurement principles states that revenue and

Question:

Step by Step Answer:

Financial Accounting

Students also viewed these Business questions