1.

a) Which of the following fundamental concepts captures the essence of the statement" Assume that Reliance industries will continue as a corporation forever"

Accounting Period

Adequate disclosure

Entity

Historical cost concept

Going concern

b) Which of the following fundamental concepts captures the essence of the statement " Land purchased for $50000 10 years ago is reported on the balance sheet as its current market value of $500000"

Accounting Period

Adequate disclosure

Fair Value

Going concern

Objectivity

c) Which of the following fundamental concepts captures the essence of the statement " Providing a summary of significant accounting policies must be a required practice"

Accounting period

Matching

Objectivity

Adequate disclosure

Going concern

d) Which of the following fundamental concepts captures the essence of the statement " Information on Ongoing litigation not being disclosed is a poor practice"

Going concern

Adequate disclosure

Matching

Objectivity

Entity

e) Which of the following fundamental concepts captures the essence of the statement" Owners transactions are separate from business transactions"

Accounting period

Adequate disclosure

Entity

Matching

Objectivity