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 significant.
D) All of these.

Question

Quizplus · Accepted Answer

The going concern assumption implies that the entity will continue to operate in the foreseeable future, therefore, the historical cost principle is credible, depreciation and amortization policies are justifiable and appropriate, and the current-noncurrent classification of assets and liabilities is justifiable and significant.

Which of the Following Is an Implication of the Going