The Four Main Accounting Principles for Financial Reporting Established in SSAP

question 21

Multiple Choice

The four main accounting principles for Financial Reporting established in SSAP 2 "Accounting Concepts" (1971) are:

• A) Going Concern, Accruals, Consistency and Prudence
• B) Relevance, Reliability, Comparability and Understandability
• C) Going Concern, Relevance, Consistency and Comparability
• D) Accruals, Prudence, Reliability and Understandability

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Definitions:

Analog

Pertaining to or using signals or information represented by a continuously variable physical quantity such as spatial position or voltage.

Digital

Pertaining to technology that encodes data as discrete numerical values, often represented as ones and zeros, for processing, storage, and transmission.

Electrohydraulic Unit

In an ABS system, this unit usually contains electric motors, solenoids, and valves that control the flow of brake fluid to the wheel brakes based on input from the EBCM.

Wheel Brake Hydraulic Circuits

The system of fluid-filled pipes and hoses in a vehicle that transmits the force applied by the driver's foot on the brake pedal to the brake at each wheel.