The underlying concepts that make up acceptable accounting practices are referred to as generally accepted accounting principles (GAAP).

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Generally accepted accounting principles (GAAP) are the underlying principles that make up acceptable accounting practices. They are a set of guidelines and standards for financial reporting that ensure consistency, comparability, and transparency in financial statements. These principles provide a framework for companies to prepare financial statements that accurately reflect their financial position, performance, and cash flows. It is important for companies to adhere to GAAP to maintain the trust of investors and creditors and avoid legal and regulatory issues.

The Underlying Concepts That Make Up Acceptable Accounting Practices Are