Accounting theory

7- Theoretically: The need for accounting-for-changing-prices information is related to the shortcomings of: A) Historical cost accounting B) Market value accounting C) Inflation accounting D) None of the above 8- The accounting type which assumes that the purchasing power of the monetary unit is fixed and stable is: A) Historical cost accounting B) Market value accounting C) Inflation accounting D) None of the above 9- The most reliable accounting method is: A-Current purchasing power accounting B-General price level accounting C- Current cost accounting D- Historical cost accounting 10- The least relevant accounting method is: A-Current purchasing power accounting B-General price level accounting C- Current cost accounting D- Historical cost accounting 11- The capital maintenance perspective that considers the changes in the real value of the currency unit is: A- Financial capital maintenance B- Purchasing power maintenance C- Physical capital maintenance D- None of the above 12- The accounting alternative method that adjusts the historical cost accounting numbers, is called: A-Current purchasing power accounting B- General price level accounting C- Current cost accounting D-A and B 13- Which of the following is monetary asset: A-Cash B- Inventory C- Buildings D- Lands 14- If the company has more monetary assets than monetary liabilities, then, in the periods of inflation, the company will have: A- Gain B-Loss C- No gain, no loss D-A and B