The accounting convention of _____ permits a company to immediately expense assets such as a garbage can) with small values and long useful lives.
A)objectivity
B)continuity
C)materiality
D)conservatism

Question

Quizplus · Accepted Answer

The accounting convention of materiality states that accounting treatment should focus on the importance of an item to the business, and the cost-effectiveness of the associated accounting procedures. This convention permits a company to immediately expense assets with small values and long useful lives, such as a garbage can, rather than depreciating them over time.

The Accounting Convention of _____ Permits a Company to Immediately