Determining whether amounts are in conformity with GAAP addresses the proper measurement of assets, liabilities, revenues, and expenses which includes all of the following except: A) the reasonableness of management's accounting estimates. B) proper application of valuation principles such as cost, net reliable value, market value, and present value. C) consistency in the application of accounting principles. D) the reasonableness of management's accounting policies. E) proper application of the matching principle.

Question

Quizplus · Accepted Answer

The reasonableness of management's accounting policies is not directly related to the measurement of assets, liabilities, revenues, and expenses in conformity with GAAP. It is more about the appropriateness and consistency of the policies chosen by management.

Determining Whether Amounts Are in Conformity with GAAP Addresses the Proper