Your Uncle, Who Has a Second Home in Bondi Beach

Multiple Choice

Your uncle, who has a second home in Bondi Beach, Sydney, is planning to sell it in the next few weeks. You are interested in buying this beachside property, so your agent negotiates a price for the house with your uncle's agent. This transaction is an example of:

A) the cost principle.
B) the assumption of arm's-length transactions.
C) the revenue recognition principle.
D) the going-concern assumption.