The time period assumption assumes that an organization's activities can be divided into specific time periods including all of the following except:
A) Months.
B) Quarters.
C) Fiscal years.
D) Calendar years.
E) Days.

Question

Quizplus · Accepted Answer

The time period assumption in accounting allows organizations to report their financial activities over specific, standardized time periods such as months, quarters, fiscal years, and calendar years for comparability and analysis purposes. Days are not typically used as a standard reporting period in this context, making option E the correct answer.

The Time Period Assumption Assumes That an Organization's Activities Can