During a Major Renovation Project of Its Head Office, a Worker

question 43

Multiple Choice

During a major renovation project of its head office, a worker was seriously injured. While the company believes that it was not at fault, it does include the incident in the notes to its financial statements. This is consistent with the

• A) full disclosure principle.
• B) periodicity assumption.
• C) going concern assumption.
• D) economic entity assumption.

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Definitions:

Pretermitted

In the law of wills, an heir born after the execution of the testator’s will.

Testator's Will

The legal document through which a person (the testator) expresses their wishes as to how their property is to be distributed after death.

Attorney-In-Fact

An agent who is given express, written authorization by his principal to do a particular act or series of acts on behalf of the principal.

Express Authorization

Explicit permission granted by one party to another to perform actions or activities on its behalf.