Joshua Thomas Is the Owner of Nexus Inc

question 131

Multiple Choice

Joshua Thomas is the owner of Nexus Inc., a manufacturer and retailer of computer hardware. Joshua recently bought a new car as a gift for his daughter. Since Joshua paid for the car from the earnings of the business, he recorded it in the books of Nexus as an asset. Which of the following concepts or principles of accounting is Joshua violating?

• A)monetary unit assumption
• B)economic entity assumption
• C)cost principle
• D)going concern assumption

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Definitions:

Functional Imaging

Imaging techniques that are used to observe metabolic processes and other physiological activities in the body, especially the brain.

Structural Imaging

Medical imaging techniques, such as MRI and CT scans, used to visualize the anatomical structure of the body, particularly the brain, to diagnose or monitor disease.

Neural Activity

The electrical and chemical processes occurring within the nervous system that allow for transmission of signals between neurons.

Brain

The organ located in the head of an animal that controls its actions and thoughts, facilitating intelligence, memory, emotion, and perception.