A Company Is Uncertain Whether a Complex Transaction Should Be

question 65

True/False

A company is uncertain whether a complex transaction should be recorded as an asset or an expense.Under the conservatism principle,it should choose to treat it as an asset.

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Definitions:

Stereognosis

Stereognosis is the ability to perceive and recognize the form of an object by touch.

Tactile Discrimination

The ability to perceive and distinguish the details of an object, such as texture or temperature, by touch.

Extinction

In psychology, the process by which a previously learned behavior diminishes or disappears when it is no longer reinforced.

Decreased Consciousness

A reduction in awareness or alertness, which can range from drowsiness to unresponsiveness, and may indicate an underlying medical issue.