An owner of a business found a great deal and pays $5,000 for a truck to be used in the business. The owner estimates that the truck had a market value of $8,000, and decides to record the new asset for $8,000 in the books of the business. What principle or concept of GAAP has the owner violated in recording the truck at the value of $8,000? O The Cost Concept O The Objectivity Concept O The Unit of Measure Concept O The Matching Concept
An owner of a business found a great deal and pays $5,000 for a truck to be used in the business. The owner estimates that the truck had a market value of $8,000, and decides to record the new asset for $8,000 in the books of the business. What principle or concept of GAAP has the owner violated in recording the truck at the value of $8,000? O The Cost Concept O The Objectivity Concept O The Unit of Measure Concept O The Matching Concept
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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