Which of the following is not a characteristic of the cost principle?
A) Reliability
B) Subjectivity
C) Objectivity
D) Verifiability

Question

Quizplus · Accepted Answer

The cost principle emphasizes the use of objective and verifiable data to determine the value of assets and expenses, which increases the reliability of financial information. However, it does not consider subjective factors such as sentimental value when determining the value of an asset, thereby making choice B incorrect.

Which of the Following Is Not a Characteristic of the Cost