What is monetary unit assumption?

The monetary unit principle is the assumption that money itself is treated as a unit of measurement, and that all transactions or economic events recorded in the accounts of a business can be expressed and measured in monetary terms by a currency.

Which of the following assumptions implies that a business can continue to remain in operation?

Continuity Assumption is an assumption which implies that business can continue to remain its operation into the foreseeable future.

Which of the following assumptions indicates that the life of a company can be divided into artificial time periods for periodic reporting?

The periodicity assumption states that a company can report its financial information within certain designated or artificial periods of time. This usually means that a company consistently reports its financial information on monthly, quarterly, or annual periods.

Which assumption in financial reporting dictates that the company is expected to operate long enough to carry out its objectives?

Going concern
Going concern is an assumption that the company will continue on long enough to carry out its objectives and commitments. An asset with a cost of $120,000 is depreciated over its useful life of 10 years rather than expensing the entire amount when it is purchased.

What are the 3 main assumptions of accounting?

Fundamental Accounting Assumptions (Going Concern, Consistency & Accrual) as per AS-1
  • Going Concern: #1 Fundamental Accounting Assumption. …
  • Consistency: #2 Fundamental Accounting Assumption. …
  • Accrual: #3 Fundamental Accounting Assumption.

What are the four basic assumption in accounting?

There are four basic assumptions of financial accounting: (1) economic entity, (2) fiscal period, (3) going concern, and (4) stable dollar. These assumptions are important because they form the building blocks on which financial accounting measurement is based.

Which of the following principle assumes that a business will continue for a long time?

Going Concern Principle
Going Concern Principle

This accounting principle assumes that a company will continue to exist long enough to carry out its objectives and commitments and will not liquidate in the foreseeable future.

What is the going concern assumption?

The going concern assumption is that a business will remain active for the foreseeable future.

Which accounting assumption assume that an enterprise will continue in operation long enough to carry out its existing objective and commitment?

The correct option is (d) Going concern assumption. Going concern assumption assumes that an enterprise will continue in operation long enough to carry out its existing objectives and commitments.

Which of the following is most likely to be an advantage of buying an existing business?

Which of the following is most likely to be an advantage of buying an existing business? Purchasing a business often requires less cash outlay than for creating a start-up.

Which of the following is most likely to be achieved as the result of starting a business with established customers?

Which of the following is most likely to be achieved as the result of starting a business with established customers? Immediate cash flows. When you start with established customers, you know that you will immediately have cash inflows.

What is the best measure of a company’s liquidity?

The two most common metrics used to measure liquidity are the current ratio and the quick ratio. A company’s bottom line profit margin is the best single indicator of its financial health and long-term viability.

Which of the following countries would be the least challenging in its ease of doing business according to the World Banks Index?

the outcomes of learning effects and economies of scale. Least challenging countries according to the World Bank’s Ease of Doing Business Index include Canada, Mexico, and Chile. Perhaps the easiest way to break into international markets is to use a trade intermediary. cut costs.

Which type of business plan is intended as the blueprint of a company’s activities and is directed to an internal audience?

This is Expert Verified Answer

As per the given question, we are required to determine the type of business plan which is intended as the blueprint of a company’s activities and is directed to an internal audience. Upon analysis, it can be concluded that the business plan will be operational.

Is an explanation of the most critical assumption that your financial statements are based on?

Assumption sheet is an explanation of the most critical assumptions based on general information, and no specific sources will be cited to substantiate assumption.

Which of the following statements best describes the process of idea screening in new product development?

Which of the following statements best describes the process of idea screening in new product development? It is the process of selecting the most promising ideas to be further evaluated for feasibility.

Which of the following is an internal factor that influences entrepreneurs Mcq?

This is Expert Verified Answer

Entrepreneurial success will be determined by five factors: innovation, risk tolerance, response to possibilities, leadership, and the capacity to take advantage of your rights.

Which section of the business plan focuses on the specific segments or target market of an industry to which the firm will try to appeal?

Entrepreneurship. So we can say that where market analysis the business plan focuses on the specific segment or target market of an industry to which the firm will try to appeal.

Is an arrangement by which the owner of a product or service allows others to purchase the right to distribute the product or service with help from the owner?

Franchising is a contractual relationship between a licensor (franchisor) and a licensee (franchisee) that allows the business owner to use the licensor’s brand and method of doing business to distribute products or services to consumers.

Which of the following factor does not affect business research Mcq?

The correct answer is c.

Interest cost fluctuations are associated to financing. An increase in debt ratio which is associated to interest cost variability has no effect on business risk.

Which of the following factors affect the growth of entrepreneurship Mcq?

It is influenced by the majority of factors such as government, legalities, local manpower, political and economic policies etc.

Which of the following does not affect the growth of entrepreneurship Mcq?

Nationality of a person doesn’t affect him being an entrepreneur. The factors like Education applies to the knowledge of an entrepreneur, the working experience of an entrepreneur helps in the workings of the business, most importantly the personal values of achievement and ethics helps in growth of an entrepreneur.

Which of the following is the objective of research Mcq?

Therefore, the main objective of the research is to discover new facts or to make fresh interpretations of known facts.