each of the num red descriptions with the principie of assumption it best rellects. 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. 4. Derived from long-used and generally accepted accounting practices such as the concepts, assumptions, and guidelines for preparing the financial statements. 5. Each business is accounted for separately from its owner or owners. 6. Revenue is recorded when products and services are delivered. 7. Usually created by a pronouncement from an authoritative body. 8. Information is based on actual costs incurred in transactions.

each of the num red descriptions with the principie of assumption it best rellects. 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. 4. Derived from long-used and generally accepted accounting practices such as the concepts, assumptions, and guidelines for preparing the financial statements. 5. Each business is accounted for separately from its owner or owners. 6. Revenue is recorded when products and services are delivered. 7. Usually created by a pronouncement from an authoritative body. 8. Information is based on actual costs incurred in transactions.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

options are:

(A) Business entity assumption

(B) Cost principle

(D) General accounting principle

(E) Going-concern assumption

(F) Matching (expense recognition) principle

(G) Revenue recognition principle

(H) Specific accounting principle

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 statements.
5. Each business is accounted for separately from its owner or owners.
6. Revenue is recorded when products and services are delivered.
7. Usually created by a pronouncement from an authoritative body.
8. Information is based on actual costs incurred in transactions.

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