The Economic Entity Assumption

question 10

Multiple Choice

The economic entity assumption

• A) is inapplicable to unincorporated businesses.
• B) recognizes the legal aspects of business organizations.
• C) requires periodic income measurement.
• D) is applicable to all forms of business organizations.

---

Definitions:

Rule Of Reason

A legal doctrine that determines the legality of certain business practices based on their harm or benefit to competition.

Physical Activity

Any bodily movement produced by skeletal muscles that requires energy expenditure, contributing to health and fitness.

Heart Disease

A range of conditions affecting the heart, including coronary artery disease, heart rhythm problems (arrhythmias), and heart defects, among others.

Lifespan

The total number of years that an organism is expected to live under natural circumstances.