Which of the following is an implication of the going concern assumption?
A) The historical cost principle is credible.
B) Depreciation and amortization policies are justifiable and appropriate.
C) The current-noncurrent classification of assets and liabilities is justifiable and signifi?cant.
D) All of these answers are correct.

Question

Quizplus · Accepted Answer

The going concern assumption implies that a company will continue to operate in the foreseeable future. This assumption impacts financial reporting in various ways, including the use of historical cost principle, depreciation and amortization policies, and the current-noncurrent classification of assets and liabilities. Therefore, all of the answer choices are correct.

Which of the Following Is an Implication of the Going