Many assets are presented at historical cost. Why does this accounting principle cause difficulties in financial statement

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Many assets are presented at historical cost. Why does this accounting principle cause difficulties in financial statement analysis?

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Financial Reporting and Analysis Using Financial Accounting Information

ISBN: 978-1439080603

12th Edition

Authors: Charles H Gibson

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Question Posted: Feb 01, 2013 07:10 AM

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Many assets are presented at historical cost. Why does this accounting principle cause difficulties in financial statement

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Historical cost is the original monetary value of an economic item Historical cost causes difficul...View the full answer

Financial Reporting and Analysis Using Financial Accounting Information

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