If a Business Is Not Being Sold or Closed, the Amounts

question 200

Multiple Choice

If a business is not being sold or closed, the amounts reported in the accounts for assets used in operations are based on costs. This practice is justified by the

• A) historical cost principle
• B) going concern principle
• C) revenue recognition principle
• D) business entity principle
• E) currency principle

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Definitions:

Selective Breeding

The process of breeding plants and animals for particular genetic traits.

Acquired Genetic Mutations

Genetic changes that occur in an individual after birth due to environmental factors, errors in DNA replication, or repair mechanisms, rather than inheriting them from parents.

Inherited Mutations

Genetic changes that are passed from parents to offspring, which can result in genetic disorders or variations in physical traits.