Answer all 3

Which basic assumption is illustrated when a firm reports financial results on an annual basis? Economic entity assumption. Going concern assumption. Periodicity assumption. Monetary unit assumption. Which basic assumption may not be followed when a firm in bankruptcy reports financial results? Going concern assumption. Monetary unit assumption. Periodicity assumption Economic entity assumption. Valuing assets at their liquidation values rather than their cost is inconsistent with the periodicity assumption. historical cost principle. expense recognition principle. materiality constraint