In applying the operating guidelines within the conceptual framework, an item is considered material if
A) it costs a lot of money.
B) it is of a tangible nature.
C) it is likely to influence the decision of a reasonably prudent investor or creditor.
D) the cost of reporting the item is greater than its benefits.
Correct Answer:
Verified
Q15: The matching principle dictates that expenses are
Q16: The going concern assumption assumes that the
Q17: If generally accepted accounting principles did not
Q18: The economic entity assumption states that
A)the economic
Q19: GAAP are standards and rules recognized as
Q20: Which of the following statements is not
Q21: The revenue recognition principle dictates that revenue
Q22: The information provided in the notes that
Q23: Expenses are recognized when
A)cash is paid.
B)the work
Q25: An example of an expired cost is
A)inventory.
B)sales
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