Materiality Is One of the Basic Assumptions of Accounting Used

question 14

True/False

Materiality is one of the basic assumptions of accounting used by the International Accounting Standards Board (IASB).

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Definitions:

Consideration

A legal term referring to something of value exchanged between parties as part of a contract.

Promise

An assertion or commitment to perform a certain action or to ensure an event takes place.

Adequacy Of Consideration

In contract law, the fairness of the compensation or value exchanged in a contractual agreement, ensuring it is both lawful and substantial enough to enforce the contract.

Market Value

The current price at which an asset or service can be bought or sold in an open and competitive market.