. Match accounting assumption with most appropriate statement. A. ...

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Accounting

. Match accounting assumption with most appropriate statement.

A.

Time Period

F. Expense Recognition

B.

Materiality

G. Consistency

C.

Going Concern

H. Full Disclosure

D.

E.

Revenue Recognition

Business Entity

I. Transaction Approach

J. Historical Cost

Insert the applicable letter below

i.

Land is purchased for $760,000. The current value of the land is $625,000. Which concept is applied to record the correct amount?

ii.

Wall Street Journal: subscription fees collected in advance are recorded as unearned subscription income and later recognized when earned.

iii.

All significant relevant information is reported.

iv.

Discount retailer Target Corporation routinely sends emails announcing sales for preferred customers. No economic impact occurs; therefore, no transaction is recorded.

v.

Online retailer Amazon, Inc. is financially sound and will continue in business indefinitely.

vi.

Costs incurred to provide a service or produce a

product must be reported in the same period the revenue is recognized.

vii.

The company uses the same accounting principle

from period to period.

viii.

Financial statements are prepared periodically.

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