The assumed continuation of a business entity in the absence of evidence to the contrary is an example of the accounting concept of
A) accrual.
B) consistency.
C) comparability.
D) going concern.

Question

Quizplus · Accepted Answer

the assumed continuation of a business entity in the absence of evidence to the contrary is an example of the accounting concept of going concern. This concept assumes that a business entity will continue to operate and carry out its activities in the foreseeable future, which allows for the use of certain accounting methods such as depreciation and amortization.

The Assumed Continuation of a Business Entity in the Absence