Homework Answers
Answers:
- Materiality Principle - As per this principle, only those items should be disclosed that have a significant effect on the user. An item is material when it would it can influence the decision of an investor.
- Going concern principle - According to this assumption, it is assumed that the business will continue for the foreseeable period and there is no intention to close the business.
- Matching principle - According to this principle, the expenses of an accounting period are matched with the related revenues.
- General accounting principle - These refers to the rules adopted by the accountants while recording their accounting transactions.
- Business entity principle - According to this principle, business is considered to be a separate entity from its owner. Owners are separate and distinct from the business.
- Accrual principle - · According to this assumption, incomes and expenses are recorded in the period in which they accrue and not when they are paid.
- Full disclosure principle - According to this principle, there should be complete and understandable reporting of the financial information in the financial statements of the entity.
- Cost principle - According to this principle, an asset is recorded in the books of accounts at the price paid to acquire it.
In case of any doubt or clarification, you're welcome to come back via comments.
Add Answer to:
Match each of the numbered descriptions with the principle or assumption it best reflects. Principle/Assumption Description...
Exercise 1-7 Identifying accounting principles and assumptions LO C4 Match each of the numbered descriptions with...
Exercise 1-7 Identifying accounting principles and assumptions LO C4 Match each of the numbered descriptions with the principle or assumption it best reflects Description Principle/Assumption 1-A company reports details behind financial statements that would impact users' decisions. 2. Financial statements reflect the assumption that the business continues operating 3. A company records the expenses incurred to generate the revenues reported. Derived from long-used and generally accepted accounting practices such as the 4. concepts, assumptions, and guidelines for preparing the financial...
Matching - 1 point Match the basic assumption or principle with the descriptions below. Presented below...
Matching - 1 point Match the basic assumption or principle with the descriptions below. Presented below are basic assumptions and principles underlying financial reporting. a = Historical cost principle b = Going concern assumption c = Time period (periodicity) assumption d = Full disclosure principle e = Economic Entity assumption 24. The business will continue in operation for the foreseeable future. 25. Assets are recorded at cost and changes in market value are not recorded. 26. Financial information is reported...
plz write correct alphabet next to each answer Match each of the numbered descriptions shown below...
plz write correct alphabet next to each answer
Match each of the numbered descriptions shown below with the lettered term it best describes, indicate your answer by entering the letter in the blank space next to each description. There is only one correct answer for each description. (A) Revenue Recognition Principle (B) Partnership (C) Generally accepted accounting principles (D) Cash Flow Statement (E) Matching Concept (F) Notes Payable (H) Expenses (0) Accounting Standards for Private Enterprises (J) Elements of the...
Review the transactional information and identify the accounting assumption, principle, and or constraint to which it...
Review the transactional information and identify the accounting assumption, principle, and or constraint to which it is related. Select an option below to match with each question: A) Time Period or Periodicity Assumption B) Economic Entity Assumption C) Fair Value D) Revenue and Expense Recognition Principle E) Revenue Recognition Principle F) Cost principle G) Full Disclosure Principle H) Separate or Economic entity Principle I) Expense Recognition Principle 1) The amount of goodwill recorded by a company that purchases another company...
Identify which accounting principle or assumption best describes each of the following practices: 1. Stark Company's...
Identify which accounting principle or assumption best describes each of the following practices: 1. Stark Company's accounting system maintains the equipment account as if the business will continue operating and not close. 2. Mike Derr owns both Salling Passions and Dockside Digs. In preparing financial statements for Dockside Digs, Mike makes sure that the expense transactions of Sailing Passions are kept separate from Dockside Digs's transactions and financial statements. 3. If $51 thousand cash is paid to buy land, the...
Identify the accounting assumption or principle that is described below. (a) select the accounting assumption or...
Identify the accounting assumption or principle that is
described below.
(a)
select the accounting assumption or principle
Going Concern AssumptionMonetary Unit AssumptionPeriodicity
AssumptionHistorical Cost PrincipleEconomic Entity AssumptionFull
Disclosure Principle
Is the rationale for why plant assets are not reported at
liquidation value. (Note: Do not use the historical cost
principle.)
(b)
select the accounting assumption or principle
Historical Cost PrincipleGoing Concern AssumptionEconomic Entity
AssumptionFull Disclosure PrincipleMonetary Unit
AssumptionPeriodicity Assumption
Indicates that personal and business record-keeping should be
separately maintained.
(c)...
Options: Correctness: Correct or Incorrect Principle: a. Faithfull representation b. Faithful representation (Full disclosure) Materiality c....
Options:
Correctness: Correct or Incorrect
Principle:
a. Faithfull representation
b. Faithful representation (Full disclosure) Materiality
c. Faithful representation (Net asset principle)
d. Historical Cost Measurement
e. Historical cost measurement and Net asset principle, Full
disclosure materiality and separate-entity
f. Matching; Comparability
g. Matching; Time-period assumption
h. Revenue and Historical cost measurement
i. Revenue and matching; Faithful representation and Freedom
from bias
j. Revenue recognition
k. Separate-entity
l. Time-period assumption
The following list of statements poses conceptual issues: Required: 1 and...
Listed below are several information characteristics and accounting principles and assumptions. Match the letter of each...
Listed below are several information characteristics and accounting principles and assumptions. Match the letter of each with the appropriate phrase that states its application. (items a through k may be used more than once or not at all.) a. Economic entity assumption g. Expense recognition principle b. Going concern assumption h. Full disclosure principle C. Monetary unit assumption i. Relevance characteristic d. Periodicity assumption j. Faithful representation characteristic e. Historical cost principle k. Consistency characteristic f. Revenue recognition principle 1....
Match each of the descriptions with the term or phrase it best reflects Description 1. An...
Match each of the descriptions with the term or phrase it best reflects Description 1. An assessment of whether financial statements follow GAAP 2. Amount a business earns in excess of all expenses and costs associated with its sales and revenues. 3. A group that sets accounting principles in the United States 4. Accounting professionals who provide services to many clients | 5. Principles that determine whether an action is right or wrong. mework 1 Consider the following separate situations,...
Listed below are several information characteristics and accounting principles and assumptions. Match the letter of each...
Listed below are several information characteristics and accounting principles and assumptions. Match the letter of each with the appropriate phrase that states its application. (Items a through k may be used more than once or not at all.) a. Economic entity assumption g. Expense recognition principle b. Going concern assumption h. Full disclosure principle c. Monetary unit assumption i. Relevance characteristic d. Periodicity assumption j. Faithful representation characteristic e. Understandability characteristic k. Verifiability characteristic f. Revenue recognition principle ____ 1....
Exercise 1-7 Identifying accounting principles and assumptions LO C4 Match each of the numbered descriptions with the principle or assumption it best reflects Description Principle/Assumption 1-A company reports details behind financial statements that would impact users' decisions. 2. Financial statements reflect the assumption that the business continues operating 3. A company records the expenses incurred to generate the revenues reported. Derived from long-used and generally accepted accounting practices such as the 4. concepts, assumptions, and guidelines for preparing the financial...
Matching - 1 point Match the basic assumption or principle with the descriptions below. Presented below are basic assumptions and principles underlying financial reporting. a = Historical cost principle b = Going concern assumption c = Time period (periodicity) assumption d = Full disclosure principle e = Economic Entity assumption 24. The business will continue in operation for the foreseeable future. 25. Assets are recorded at cost and changes in market value are not recorded. 26. Financial information is reported...
plz write correct alphabet next to each answer
Match each of the numbered descriptions shown below with the lettered term it best describes, indicate your answer by entering the letter in the blank space next to each description. There is only one correct answer for each description. (A) Revenue Recognition Principle (B) Partnership (C) Generally accepted accounting principles (D) Cash Flow Statement (E) Matching Concept (F) Notes Payable (H) Expenses (0) Accounting Standards for Private Enterprises (J) Elements of the...
Identify which accounting principle or assumption best describes each of the following practices: 1. Stark Company's accounting system maintains the equipment account as if the business will continue operating and not close. 2. Mike Derr owns both Salling Passions and Dockside Digs. In preparing financial statements for Dockside Digs, Mike makes sure that the expense transactions of Sailing Passions are kept separate from Dockside Digs's transactions and financial statements. 3. If $51 thousand cash is paid to buy land, the...
Identify the accounting assumption or principle that is
described below.
(a)
select the accounting assumption or principle
Going Concern AssumptionMonetary Unit AssumptionPeriodicity
AssumptionHistorical Cost PrincipleEconomic Entity AssumptionFull
Disclosure Principle
Is the rationale for why plant assets are not reported at
liquidation value. (Note: Do not use the historical cost
principle.)
(b)
select the accounting assumption or principle
Historical Cost PrincipleGoing Concern AssumptionEconomic Entity
AssumptionFull Disclosure PrincipleMonetary Unit
AssumptionPeriodicity Assumption
Indicates that personal and business record-keeping should be
separately maintained.
(c)...
Options:
Correctness: Correct or Incorrect
Principle:
a. Faithfull representation
b. Faithful representation (Full disclosure) Materiality
c. Faithful representation (Net asset principle)
d. Historical Cost Measurement
e. Historical cost measurement and Net asset principle, Full
disclosure materiality and separate-entity
f. Matching; Comparability
g. Matching; Time-period assumption
h. Revenue and Historical cost measurement
i. Revenue and matching; Faithful representation and Freedom
from bias
j. Revenue recognition
k. Separate-entity
l. Time-period assumption
The following list of statements poses conceptual issues: Required: 1 and...
Listed below are several information characteristics and accounting principles and assumptions. Match the letter of each with the appropriate phrase that states its application. (items a through k may be used more than once or not at all.) a. Economic entity assumption g. Expense recognition principle b. Going concern assumption h. Full disclosure principle C. Monetary unit assumption i. Relevance characteristic d. Periodicity assumption j. Faithful representation characteristic e. Historical cost principle k. Consistency characteristic f. Revenue recognition principle 1....
Match each of the descriptions with the term or phrase it best reflects Description 1. An assessment of whether financial statements follow GAAP 2. Amount a business earns in excess of all expenses and costs associated with its sales and revenues. 3. A group that sets accounting principles in the United States 4. Accounting professionals who provide services to many clients | 5. Principles that determine whether an action is right or wrong. mework 1 Consider the following separate situations,...
Most questions answered within 3 hours.
-
The time to complete a standardized exam is approximately normal
with a mean of 70 minutes...
asked 14 minutes ago -
Two thousand randomly selected adults were asked whether or not
they have ever shopped on the...
asked 26 minutes ago -
10.g of a certain metal absorb 40. cal of heat and the temperature
is abserved to...
asked 33 minutes ago -
How many milliliters of 0.0695 M Ca( OH)
2would be required to exactly neutralize 176 mL...
asked 1 hour ago -
A telephone survey uses a random digit dialing machine to call
subjects. The random digit dialing...
asked 1 hour ago -
How can having too little or too much of a certain
protein cause problems for an...
asked 3 hours ago -
Assume a muscle has a PCSA = 20 cm2 and Lo = 12 cm. Assume it...
asked 4 hours ago -
What is the yield to maturity of a ten-year, $1,000 bond with a
5.2% coupon rate...
asked 5 hours ago -
A mass m = 5 kg is tied on one end of a rope and is...
asked 5 hours ago -
The Average sales price of single-family houses in Charlotte is
$210,000 with a standard deviation of...
asked 5 hours ago -
Target Costing
Laser Impressions, Inc., manufactures color laser printers.
Model J20 presently sells for $225 and...
asked 5 hours ago -
a bottle cap manufacturer with four machines and six operators
wants to see if variation in...
asked 6 hours ago