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which is not an accounting assumption underlying the structure of financial accounting theory? a. accounting cntity b. periodicity c.

Question

Which is not an accounting assumption underlying the structure of financial accounting theory? a. Accounting cntity b. Periodicity c. Disclosure d. Monetary a) a b)b c) C d)d

Solution

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4.6 (236 Votos)
Felipe Veterano · Tutor por 11 anos

Resposta

The correct answer is c) Disclosure.The accounting assumptions underlying the structure of financial accounting theory are:a) Accounting Entity - This assumption states that the business is separate from its owners and other businesses.b) Periodicity - This assumption allows for the division of the life of a business into artificial time periods, such as months or years, for reporting purposes.d) Monetary Unit - This assumption states that financial statements are recorded in a common monetary unit, such as the local currency.c) Disclosure - This is not considered an accounting assumption. Instead, it refers to the requirement to provide necessary information in financial statements to ensure transparency and understanding.