Which of the following statements is true?
A) Two recognition principles are the current value basis of accounting and the going concern assumption.
B) The current value basis of accounting states that all assets and liabilities can be reported at current value.
C) Current values may not always be representationally faithful.
D) Current value is fair value in use.

Question

Quizplus · Accepted Answer

Current values may not always be representationally faithful because they can be subject to estimation and market fluctuations, which may not accurately reflect the true economic value of an asset or liability.

Which of the Following Statements Is True