Identify the accounting assumption or principle that is described below.

a. _____ Belief that a company will remain in operation for the foreseeable future.
b. _ Indicates that personal and business recordkeeping should be separately maintained.
c._ Only those items that can be expressed in money are included in the accounting records.
d. _Separates financial information into time periods for reporting purposes.
e. _ Measurement basis used when a reliable estimate of fair value is not available.
f. _____ Dictates that companies should report all circumstances and events that make a difference to financial statement users.

1. Monetary Unit Assumption
2. Historical Cost Principle
3. Going Concern Assumption
4. Economic Entity Assumption
5. Periodicity Assumption
6. Full Disclosure Principle

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andromache andromache · Answer 1 · 2020-10-02T18:01:19+02:00

Answer and Explanation:

a. Going Concern Assumption : It means the organization would be remain open always whether the people go or not

b. Economic Entity Assumption

: The owner and the business records should be maintained separately.

c. Monetary Unit Assumption

: It means all the transactions should be recorded in monetary terms

d. Periodicity Assumption

: It means for a period of time different financial information could be recorded

e. Historical Cost Principle : Always used the orginial cost at the time of recording

f. Full Disclosure Principle: All information should be disclosed to the notes to the financial statements