Which of the following statements is correct?   Options: • Going concern principle assume that in preparing the financial statements only properties, liabilities, income and expenses of a particular business are reported therein • The total value of debits in most cases is higher than the total value of credits • All accounting information must be free from error to be reliable

Q: What is the concept of going concern? elect one answer: Understating the assets and revenues and…

A: An assumption or condition under which the transactions of a business entity are recorded is…

Q: Which of the following action shall explain the prudence concept in the most appropriate way?…

A: Prudence concept:- Amount of revenues recognised  and assets  should not be overestimated; Amount of…

Q: Which of the following accounts would not appear on a balance sheet a. Deferred charges b.…

A: Balance Sheet is a financial statement that records all the assets, liabilities and equity of the…

Q: Consider the following statements: I. For Income Statement accounts, evidence is considered to Be…

A: Income statement is a statement which records the revenue and expenses of an undertaking for a…

Q: 7-One of the objective of financial reporting is that correct and authentic information should be…

A: The historical cost follows the conservative accounting concept and it prevents companies from…

Q: Relevant definition or description is: a. Relevant financial information is capable of making a…

A: With the help of the financial statements, the financial status or position will be identified. The…

Q: Please answer with reason for all why the option is correct and why the other options are…

A: Realisation Concept: Realisation concept assumes that revenue is recognized only when there is a…

Q: Accountants use reserve accounts for various reasons, for each of the cases below describe a…

A: Uses of reserves

Q: Vhich of the following statements is incorrect regarding statement of financial osition errors? DIt…

A: Solution Concept Real account                 Real account is a permanent account that is not closed…

Q: Using practical example discuss why current asset is not seen not part of the income  statement

A: Answer: As per Q/A guidelines, first question is answered. Please repost the question to be answered…

Q: A negative entry raises the value of the assets and income accounts in the ledger. True \False

A: This question tells about  the value of the assets and income accounts in the ledger

Q: What is the purpose of the accounting?

A: Accounting is the process of recording, summarizing, analyzing, and reporting financial transactions…

Q: y available information.Accounting information is not useful unless it confirms previously available…

A: Accounting information is general purpose and should be designed to serve the information needs of…

Q: Why can’t investors automatically accept balance sheet entries, as written, from a GAAP balance…

A: The financial statements are presented to users only after audit.

Q: The company in the following question has made errors in accounting for the given transaction. State…

A: In the given case, Illini Chemicals had, instead of amortizing 20 percent of the R&D costs (as…

Q: uUnder the double-entry system of accounting, a debit represents a decrease to a liability account.…

A: Journal entry is the practice of recording commercial transactions for the first time in the books…

Q: State whether the following statement is true or false. "Accounting relies on inexact or approximate…

A: Financial Statements are the outcomes of accounting concepts and conventions combined with…

Q: What is accrual accounting and why is it the preferred method for most organisations?

A: The following are two methods used for financial reporting as follows under:-.Cash accountingAccrual…

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A: A Financial Statement is the Statement which company prepares to show their business activities and…

Q: An accounting identity O A. is useless in analyzing balance of payments since one cannot tell from…

A: The question is multiple choice question. Required  Choose the Correct Option.

Q: Please answer with reason for all why the option is correct and why the other options are…

A: Accounting is a process to record the transactions that affect the business process. The…

Q: How many of the following statements regarding the Revenue Recognition and Matching Principles are…

A: The revenue recognition principle state that organizations should recognize the revenue when the…

Q: Expenses recognized in the wrong accounting period: What does it mean when a company may delay…

A: Delaying the recognition of an expense by recording it as an asset is a common accounting practice…

Q: Multiple choice: 1. Which if the following us correct concerning a T account? A. The left side is…

A: The T-accounts are prepared with posting of journal entries to specific accounts.

Q: Accrual Basis of Accounting versus Cash Basis of Accounting On December 31, Hermani Patterson…

A: Accrual basis of accounting provides that Revenue as well as Expenses will be recorded as and when…

Q: Which of the following statements is not true of the accrual basis of accounting? O a. The accrual…

A: As per accrual basis of accounting the revenue and expense should be recognised as and when accrued.…

Q: For each of the following situations, indicate whether itrepresents an accounting error and explain…

A: Answer:   Accounting error.

Q: Please answer with reason for all why the option is correct and why the other options are…

A: According to the realisation concept, revenue is recognised when an obligation to receive the amount…

Q: Please answer with reason for all why the option is correct and why the other options are…

A: ⁤Representative Personal Accounts are used to record the financial information of people, whether…

Q: Do not use Ai

A: Financial accounting is a system designed to provide critical financial information to external…

Q: Which of the following statements would be consideredtrue regarding the balance sheet?a. One cannot…

A:

Q: What accounting principle requires that revenues, and the related costs incurred to generate those…

A: Revenue: It is the amount of money earned by an entity by selling goods or providing…

Q: t is NOT necessary to prepare formal financial statements if a work sheet has been prepared because…

A: The objective of the question is to determine whether the preparation of formal financial statements…

Q: A contra account will not be listed immediately after its related account. O be potentially…

A: A contra account is the type of account that has balance that is opposite of the normal balance for…

Q: Revenue is recognized for accounting purposes when a performance obligation is satisfied. In some…

A: The total amount of income generated by the sale of goods or services connected to the company's…

Q: Which of the following statement is false? 1.Financial Accounting is optional. 2.Management…

A: Financial statements are the reports that are prepared in order to indicate the financial position…

Q: Don't use Ai

A: A balance sheet is a financial statement that provides a snapshot of a company's financial position…