Generally Accepted Accounting Principles Require That Any Assessment of a Firm's

question 287

True/False

Generally accepted accounting principles require that any assessment of a firm's financial statements be performed by independent outside auditors.

---

Definitions:

Useful Life

The estimated period that an asset is expected to be usable for the purpose for which it was acquired, affecting its depreciation or amortization.

AASB 116

An Australian accounting standard that outlines the accounting treatment for property, plant, and equipment including recognition, depreciation, and impairment.

Revaluations

The process of adjusting the book value of a capital asset or currency to its current market value.

Property, Plant and Equipment

Long-term tangible assets held for business use and not expected to be converted to cash in the short term.