This assumption states that a business is an entity separate and distinct from its owners. a. Separate legal existence b. Going concern assumption c. Accounting entity assumption d. Time period assumption
Added by Beatriz T.
Step 1
Step 1: The assumption that states a business is an entity separate and distinct from its owners is known as the separate legal existence or business entity assumption. Show more…
Show all steps
Your feedback will help us improve your experience
Haricharan Gupta and 53 other Microeconomics educators are ready to help you.
Ask a new question
Labs
Want to see this concept in action?
Explore this concept interactively to see how it behaves as you change inputs.
Key Concepts
Recommended Videos
____________indicates that personal and business record keeping should be separately maintained. (select an option) a. Expense recognition principle b. Full disclosure principle c. Economic entity assumption d. Going concern assumption
Haricharan G.
That companies can present useful information in shorter time periods such as years, quarters, or months is known as which of the following? A. separate entity concept B. monetary measurement concept C. going concern assumption D. time period assumption
Analyzing and Recording Transactions
Describe Principles, Assumptions, and Concepts of Accounting and Their Relationship to Financial Statements
Which of the following is the principle that a company must recognize revenue in the period in which it is earned; it is not considered earned until a product or service has been provided? A. revenue recognition principle B. expense recognition (matching) principle C. cost principle D. full disclosure principle
Recommended Textbooks
Principles of Economics
Principles of Microeconomics for AP® Courses
Economics
Transcript
18,000,000+
Students on Numerade
Trusted by students at 8,000+ universities
Watch the video solution with this free unlock.
EMAIL
PASSWORD