The Economic Entity Assumption States That Economic Events

question 129

Multiple Choice

The economic entity assumption states that economic events

• A)of different entities can be combined if all the entities are corporations.
• B)must be reported to the Securities and Exchange Commission.
• C)of a sole proprietorship cannot be distinguished from the personal economic events of its owners.
• D)of every entity can be separately identified and accounted for.

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Definitions:

Offer Can Be Revoked

The proposition that an offer can be withdrawn by the offeror before it is accepted by the offeree, making it legally void.

Performance of an Act

The execution or accomplishment of an action, task, or function, often specified in a legal context or contractual obligation.

Made Known

To reveal or disclose information or knowledge that was previously unknown or hidden.

Request to Negotiate

An invitation or proposal to start negotiation discussions about a specific issue, contract, or arrangement.