Company ABC needed a new warehouse. A contractor quoted a price of $250,000 to construct it. ABC Inc. believed that it could build the warehouse for $215,000 and decided to use existing employees to construct the warehouse. The final construction cost incurred by the corporation was $240,000.Company ABC capitalised the warehouse at $250,000.Which of the following statements is TRUE?

Question 33 options:

Historical cost - violated

Faithful representation - followed

Comparability - followed

Verifiability - violated

Unit of measure - violated