GAAP

Question 0

Each transaction is described by a business document that proves the transactions did occur

Answer 0

Objective evidence

Question 1

Change in financial information are reported for a specific period of time in the form of financial statement

Answer 1

Accounting period cycle

Question 2

All business transaction is recorded at the time the goods or service ate sold

Answer 2

Unit of measurement

Question 3

Revenue from business activities and expense associated with earning that revenue are recorded in the save

Answer 3

Matching Expense with revenue

Question 4

The actual amount paid or received is the amount recorded in accounting records

Answer 4

Historical cost

Question 5

Financial statement should contain all information necessary for a reader to understand a business condition

Answer 5

Adequate Disclosure

Question 6

In the preparation of financial statement, the same accounting concept are applied in the same way in each accounting period

Answer 6

Consistent reporting

Question 7

A business financial information is recorded and reported separately from owners personal financial information

Answer 7

Business Entity

Question 8

Financial statement are prepared with the explanation that a business will remain in operation indefinitely

Answer 8

Going concert