The Amounts Reported in the Accounts for Assets Used in Operations

question 202

Multiple Choice

The amounts reported in the accounts for assets used in operations are based on their costs.This practice is best justified by the:

• A)Cost principle
• B)Going-concern principle
• C)Objectivity principle
• D)Business entity principle
• E)Revenue recognition principle

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Definitions:

Physiological Need

Fundamental requirements necessary for maintaining life and physical health, such as food, water, air, and shelter.

Leg Wound

An injury or open sore on the leg, which could result from accidents, surgeries, or medical conditions, requiring proper care and treatment.

Social Identity

An individual's sense of who they are based on their group memberships, such as nationality, ethnicity, or religion.

Medical Restriction

Limitations on activities or diet specified by healthcare providers to prevent harm or worsening of a patient's condition.