An Accountant Is Uncertain About the Best Estimate of an Amount

question 20

Multiple Choice

An accountant is uncertain about the best estimate of an amount for a business transaction.When there are two possible amounts that could be recorded,the amount least likely to overstate assets and earnings is selected.Which of the following qualities is characterized by this action?

• A) comparability
• B) conservatism
• C) materiality
• D) neutrality

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Definitions:

Cambodian Refugees

Individuals who fled Cambodia due to war, persecution, or other disturbances, particularly after the rise of the Khmer Rouge regime in the 1970s.

Culturally Competent

Having the awareness, knowledge, and skills to interact effectively and respectfully with people of different cultures.

Personalismo

A cultural value in some Latin American societies emphasizing personal relationships and friendships over formal rules and systems.

Simpatico

A Spanish term denoting agreeableness, likability, or congeniality, emphasizing harmonious relationships and interpersonal connections.