Swaran Frei is the proprietor of a property management company, Apartment Exchange, near the campus of Pensacola State College. The business has cash of $8,000 and furniture that cost $9,000 and has a fair value of $13,000. The business debts include accounts payable of $6,000. Frei has a personal home valued at $400,000 and a personal bank account with a balance of $1,200. Consider the accounting principles and assumptions discussed in the chapter, and identify the principle or assumption that best matches the situation: 

a. Frei’s personal assets are not recorded on the Apartment Exchange’s balance sheet. 

b. Apartment Exchange records furniture at its cost of $9,000, not its fair value of $13,000. 

c. Apartment Exchange reports its financial statements in U.S. dollars. 

d. Frei expects Apartment Exchange to remain in operation for the foreseeable future.