The Continuity (Going-Concern)assumption of Accounting

question 53

Multiple Choice

The continuity (going-concern) assumption of accounting:

• A)enables accountants to ignore the effect of inflation in the accounting records.
• B)holds that the entity will remain in operation long enough to use its existing assets.
• C)maintains that each organization, or section of an organization, stands apart from other organizations and individuals.
• D)ensures that accounting records and statements are based on the most reliable data available.

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Definitions:

White Space

An area (regardless of color) on a document or screen that is devoid of text or graphics.

Muted Colors

Colors that are subdued or less intense, often used to create a soft or understated aesthetic.

Functional Animation

A type of animation used in web and app design to enhance user experience by providing visual feedback or guiding user interactions.

Color Bar

A graphical representation of a range of colors used to indicate data values or categories in charts and maps.