The Full Disclosure Principle

question 126

Multiple Choice

The full disclosure principle:

• A)Prescribes that accounting information is based on actual cost.
• B)Provides guidance on when a company must recognize revenue.
• C)Prescribes that a company report the details behind financial statements that would impact users' decisions.
• D)Prescribes that a company record the expenses it incurred to generate the revenue reported.
• E)Means that accounting information reflects a presumption that the business will continue operating instead of being closed or sold.

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Definitions:

Superior Vena Cava

A large vein carrying deoxygenated blood from the upper half of the body to the heart's right atrium.

Inferior Vena Cava

The largest vein in the human body, carrying deoxygenated blood from the lower half of the body to the heart.

Postcava

Another term for the inferior vena cava, which is a large vein that carries deoxygenated blood from the lower half of the body to the heart.

Deep Popliteal Artery

The continuation of the femoral artery that passes through the popliteal fossa to supply blood to the knee joint and surrounding areas.