The owner of a corner store keeps separate private and business transactions.To which financial statement assumption does this relate?
A) Materiality
B) Accounting entity
C) Accounting period
D) Going concern

Question

Quizplus · Accepted Answer

The practice of keeping separate private and business transactions relates to the accounting entity assumption, which states that the financial transactions of a business entity are separate and distinct from the personal transactions of its owners or other entities.

The Owner of a Corner Store Keeps Separate Private and Business