The Accounting Concept or Principle Applied When the Cost of Short-Term

question 17

Multiple Choice

The accounting concept or principle applied when the cost of short-term marketable securities is adjusted to market value is:

• A)objectivity.
• B)matching revenue and expense.
• C)original cost.
• D)consistency.

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Definitions:

Supply Increases

A situation where the quantity of a good or service that producers are willing and able to sell at a specific price rises.

Equilibrium Price

The price at which the quantity of a good or service demanded by consumers equals the quantity supplied by producers, resulting in market stability.

Demand Decrease

A downward shift in the demand curve for a product, indicating that consumers now desire less of it at every price.

Supply Increase

A rise in the quantity of a product or service that is available for purchase, which can affect market prices and demand levels.