Which of the following statements is true? [A] The losses from the sale of capital assets need not be deducted from the revenue to ascertain net income. [B] The going concern concept requires that non-monetary assets should always be valued and recorded at market value. [C] According to the consistency concept, the results of one accounting period of a business cannot be compared with that of the past. [D] In terms of the conservatism concept, all probable losses must be considered in the computation of income.
Added by Laura M.
Step 1
So, this statement is false. [B] Going concern concept assumes that a business will continue to operate in the foreseeable future. It does not require non-monetary assets to always be valued and recorded at market value. So, this statement is also false. [C] Show more…
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