dentify the financial statement qualitative characteristic or foundation that has been violated in each of the following

Scenario

Description

a$)$

Bill Co$.$ purchased a two$-$year insurance policy and expensed the entire

amount in the period of purchase.

b$)$

Charlie Co$.$ listed inventory at its market value of $$31,000$ on the balance

sheet, even though it was purchased for $$20,000.$

Percy Co$.$ did not include the details of its property, plant, and equipment,

even though this information is relevant to users.

Fred. Co made a sale on the last day of the accounting period. The

d$)$ customer paid for the item in the following month, so this sale was

included in the next period's financial statements.

George Co$.$ has plans to restructure its operations next year and will sell off

about half of the business. This information was not included in the notes

e$)$

to the financial statements because it does not affect the current financial

information.