Which accounting concepts requires non-current assets to be valued at cost less accumulated depreciation, rather at their enforced saleable value                                                                       a. Prudence   b. Relevance   c. Comparability   d. Going concern

Q: Which sentence is incorrect? Select one: a. Depreciation is not the actual change in the value of…

A: Depreciation expense is a non-cash expense, which is recorded on the income statement reflecting the…

Q: Assets are usually reported at theira. appraised value.b. historical cost.c. current market value.d.…

A: Correct Option is “b”: Historical Cost. Assets are recorded in the balance sheet of the company at…

Q: Which of the following concepts is violated when measuring inventories at the lower of cost and net…

A: Solution: As per  historical cost concept, in accounting value of an assets is recorded at original…

Q: Which one of the following category outstanding expenses belong to? a. Intangible asset b. Current…

A: Outstanding expenses are those expenses which have been incurred during the period but not yet paid.…

Q: Which of the following concepts is not related to depreciation? Select one: a. Historical cost…

A:

Q: Expense Recoognition: What does it mean when assets are "expensed"? Why do costs do not qualify as…

A: Expense recognition refers to the accounting process of recording expenses in the financial…

Q: Purchasing power gain or loss results from: a. Monetary asset only b. Monetary liability only c.…

A: This question is answered as per IAS 29 "Financial Reporting in Hyperinflationary Economies".

Q: What are the effects of depreciation on the profit and loss account and balance sheet?

A: INTRODUCTION: A depreciation plan or chart makes it easier for organizations to keep track of…

Q: Which of the following accountin justification for the fact that the c non-current asset is reported…

A: Solution: "Going Concern" accounting concept  provides justification for the fact that the carrying…

Q: _Accounting concept is in valuation of fixed assets

A: Option A. Historical cost concept says fixes asset is to be recorded at the amount paid to acquire…

Q: Which one of the following is not one of the factors in computing depreciation? Cost price…

A: Depreciation means the loss in value of assets because of usage of assets , passage of time or…

Q: TRUE OR FALSE The principle of historical cost states that acquired assets should be recorded at…

A: Historical Cost:-As per this principle according to the US GAAP, assets should be recorded in the…

Q: According to the acquired assets should be recorded at the amount actually paid rather than at the…

A: Lets understand the each option given for the question to determine the correct answer. Monetary…

Q: Fair Value Accounting and Valuation in 3 Steps:   Asset or Liability Identification: The first…

A: Fair value is an amount that usually a person gets when he sells the asset or an amount paid to…

Q: The amount for which an asset could be exchanged, a liability settled , or an equity instrument…

A: The amount for which an asset could be exchanged, a liability settled , or an equity instrument…

Q: The historical cost principle provides that: Select one: O a. the recorded amount of an acquired…

A: Accounting principles are the rules required to be followed by the company in the process of…

Q: Which of the following is not part of the definition of an asset  O a. Control of a resource  O b.…

A: Asset can be defined as a resource controlled by the entity as a result of past events from which…

Q: What is more important for asset valuation? Cash flow or accounting profit? Please fully explain the…

A: Introduction:- Any resource that a business or economic organisation owns or controls is referred to…

Q: Which one of the following category outstanding expenses belong to? a. Intangible asset b. Current…

A: Outstanding expenses means those expenses which pertains to current period and recorded in the…

Q: Multiple choice: 1. It is a present obligation that has resulted from past events and has the…

A: Hi student Since there are multiple questions, we will answer only first question.

Q: What provides the framework for conducting return on assets (ROA) analysis by incorporating revenues…

A: The objective of the question is to identify the framework that allows for the calculation of Return…

Q: Explain the historical cost principle and discuss its advantages and disadvantages compared to other…

A: The historical cost principle is an accounting concept that requires assets to be recorded on the…

Q: Which of the following observations refers to the term differential? Select one: a. Excess of…

A: The question is multiple choice question and related to Consolidated Financial Statements. Required…

Q: The generally accepted accounting principle that supports recording the value of a property at the…

A: Correct answer is option 'D' i.e. cost principle. Explanation:  Under US GAAP As per cost principle…

Q: The historical cost principle requires that when assets are acquired, they be recorded at Select…

A: Historical cost principle  Historical cost refers to the cost at the time of acquisition. Since…

Q: In accounting, which statement accurately reflects the Historical Cost Accounting concept and its…

A: The concept of historical cost accounting uses the original purchase prices of assets and…

Q: n current purchasing power technique   (a) Why is it necessary to consider monetary assets…

A: Purchasing Power- Purchasing Power defines the value of currency in relation to goods, It depicts…

Q: Valuing assets at the amount of cash or equivalents paid or the fair value of the consideration…

A: The elements of financial statements which contain the financial information about an organization…

Q: Assets are usually valued at?   a.Historical Cost b. Residual Value c. Net Realizable Value d.…

A: Assets are the resources that are owned by the organizations. Assets can be current or non-current.