According to GAAP, There Are Two Categories of Accounting Principles

question 8

Multiple Choice

According to GAAP, there are two categories of accounting principles: recognition and _________________.

• A) disclosure
• B) preparation
• C) auditing
• D) budgeting

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Definitions:

Market Power

The ability of a firm or group of firms to manipulate or influence the price or supply of a good or service in the market.

High-Speed

Typically refers to technologies or transportation methods that operate significantly faster than traditional standards, often used in contexts like high-speed internet or high-speed trains.

Magnetically Powered

Devices or systems that are operated or driven by magnetic force or magnetic fields.

Decreasing Average Cost

A situation where the average cost of production decreases as the quantity of output increases, often due to economies of scale.