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The principles support the posting or recording of assets, revenues, expenses, costs, liabilities, and the disclosure and preparation of the financial statements.
According to information retrieved from http://www.quickmba.com, a number of accounting assumptions exist. First, the separate entity assumption is where the business is an entity that is separate and distinct from its owners’ finances...
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This prevents the finances of the business from not being intertwined with the finances of the owners. The going concern assumption is the belief that the business will be operating in the anticipated or foreseeable future. The stable monetary unit assumption takes for granted the business will be operating in a stable currency, like the U...
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