BUSINESS ADMINISTRATION
FINANCIAL ACCOUNTING
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Monetary unit assumption
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Cash basis concept
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Economic entity assumption
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Pay back concept
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Detailed explanation-1: -The accounting basis that records revenues when goods or services are provided to customers and expenses with related revenues is referred to as: Accrual-basis.
Detailed explanation-2: -The accounting principle that requires accounting information to be based on actual cost and requires assets and services to be recorded initially at the cash or cash-equivalent amount given in exchange, is the: Measurement (Cost) principle.
Detailed explanation-3: -Noncurrent liabilities include debentures, long-term loans, bonds payable, deferred tax liabilities, long-term lease obligations, and pension benefit obligations.
Detailed explanation-4: -The common characteristics possessed by all assets is the capacity to provide future services or benefits to the entities that use them.