For each of the following numbered items, state the letter or letters of the principle(s), assumption(s), or concept(s) used to justify the accounting procedure followed. The accounting procedures are all correct.

a. Business entity.

b. Conservatism.

c. Earning principle of revenue recognition.

d. Going concern (continuity).

e. Exchange-price principle.

f. Matching principle.

g. Period cost (or principle of immediate recognition of expense).

h. Realization principle i. Stable dollar assumption.

1. The estimated liability for federal income taxes was increased by \(\$ 10,000\) over the amount reported on the tax return to cover possible differences found by the Internal Revenue Service in determining the income taxes payable.

2. A truck purchased in January was reported at \(80 \%\) of its cost even though its market value at year-end was only \(70 \%\) of its cost.

3. The collection of \(\$ 40,000\) of cash for services to be performed next year was reported as a current liability.

4. The president's salary was treated as an expense of the year even though he spent most of his time planning the next two years' activities.

5. No entry was made to record the company's receipt of an offer of \(\$ 800,000\) for land carried in its accounts at \(\$ 435,000\).

6. A supply of printed stationery, checks, and invoices with a cost of \(\$ 8,500\) was treated as a current asset at year-end even though it had no value to others.

7. A tract of land acquired for \(\$ 180,000\) was recorded at that price even though it was appraised at \(\$ 230,000\), and the company would have been willing to pay that amount.

8. The company paid and charged to expense the \(\$ 4,200\) paid to Craig Nelson for rent of a truck owned by him. Craig Nelson is the sole stockholder of the company.