In Accounting, We Would Normally Assume That a Company Will

question 96

Multiple Choice

In accounting, we would normally assume that a company will continue to use its factory over some period of time, and therefore it makes sense to depreciate the factory over some period of time. The name for this assumption is the

• A) Constant-dollar assumption
• B) Periodicity assumption
• C) Going concern assumption
• D) Realization principle

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Definitions:

Dome

A Dome is an architectural element featuring a hollow upper half of a sphere, commonly used in buildings to cover a large space without the need for internal supports, notable in religious and governmental buildings.

Ara Pacis Augustae

An altar in Rome dedicated to Pax, the Roman goddess of peace, commissioned by Emperor Augustus in 13 BCE.

Ancestral Connection

An ancestral connection refers to the relationships, influences, and heritage that individuals or cultures have with their ancestors.

Aeneas

A mythical Trojan hero, central to both Greek mythology and Roman legend, known for his piety and role in founding the city that would become Rome.