Multiple Choice
Stuart Allen Company manufactures computer hardware.The president of the company bought a new car as a gift for his daughter and paid for it using cash from the business.Since the company paid for the car,it was recorded in its books as an asset.Which of the following concepts or principles of accounting did the company violate?
A) monetary unit assumption
B) economic entity assumption
C) cost principle
D) going concern assumption
Correct Answer:
Verified
Correct Answer:
Verified
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