The underlying assumptions of accounting include all of the following except:
A) unit-of-measure.
B) separate entity.
C) time period.
D) continuity.
E) conservatism.

Question

Quizplus · Accepted Answer

The four underlying assumptions of accounting are unit-of-measure, separate entity, time period, and continuity. Conservatism is not an underlying assumption but is a principle that guides the application of the assumptions in uncertain situations.

The Underlying Assumptions of Accounting Include All of the Following