The Principle That Accountants Do Not Have to Account for Every

question 67

Multiple Choice

The principle that accountants do not have to account for every last item in strict accordance with the accounting rules is known as the:

• A)relevance principle.
• B)materiality principle.
• C)cost principle.
• D)going- concern principle.

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Definitions:

Henry

The SI unit of inductance, defined as the inductance in a circuit when an electromotive force of one volt is produced by a current changing at one ampere per second.

Left-hand Generator Rule

A rule used to determine the direction of induced current when a conductor moves through a magnetic field, utilizing the left hand to align thumb, forefinger, and middle finger perpendicularly.

Magnetic Field

A magnetic field is a vector field that surrounds magnets and electric currents, exerting magnetic forces on moving electric charges and magnetic materials.

Exponential Curve

A natural curve that is the rate at which current can rise or fall in an inductor or the rate of charge and discharge for a capacitor.