Question: Match the assumption, principle, or constraint description with the appropriate term by selecting the appropriate letter on the correct line. a. Cost principle of measurement
Match the assumption, principle, or constraint description with the appropriate term by selecting the appropriate letter on the correct line. a. Cost principle of measurement b. Going concern assumption c. Stable monetary unit assumption d. Economic entity assumption Cost-benefit constraint f. Materiality constraint e. Benefits of the information produced by an accounting system must be greater than the costs. Amounts may be ignored if the effect on a decision maker's decision is not significant. Transactions are recorded based on the cash amount received or paid. Ignore the effects of inflation in the accounting records. This assumes that a business is going to continue operations indefinitely A business must keep its accounting records separate from its owner's accounting records
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
