BUSN 212 - CH2

select three measurement issues must be resolved before a business transaction is recorded

• Principle of duality

• Valuation issue

• Recognition issue

• ethical

• Classification issue

sale is recognized when title passes to the buyer (recognition point)

• Fasle

• True

Transactions should be recorded at their original cost (historical cost)

• False

• True

Assets are valued at the initial fair value or cost unless there is evidence that the fair value has changed and an adjustment must be made.

• False

• True

Transactions must NOT classified according to the appropriate categories or accounts.

• False

• True

Recognition, valuation, and classification are important factors in ethical financial reporting

• False

• True

The Principle of duality is describe the nature of the double-entry system of accounting.

• False

• True

______________ basic storage units for accounting data and are used to accumulate amounts from similar transactions

• AT account

• Accounts

debit (right) side

• False

• True

A title expressing the name of the asset, liability

• False

• True