ent CALCULATOR i FULL SCREEN PRINTER VERSON BAO Exercise 4-2 Identify the accounting concept that describes each situation below. Do not use any concept more than once. (a) Is the rationale for why plant assets are not reported at liquidation value. (Do not use the historical cost priniple.) (b) Indicates that personal and business recordkeeping should be separately maintained (c) Ensures that all relevant financial information is reported. (d) Assumes that the dollar is the "measuring stick used to report on financial performance. (e) Requires that accounting standards be followed for all items of significant size () Separates financial information into time periods for reporting purposes. (o) Requires recognition of expenses in the same period as related revenues (Ch) Indicates that fair value changes subsequent to purchase are not recorded in the accounts. LINK TO TEXT VIDEO, AmutO SKILLS Question Attempts: o of 3 used SAVE FOR LATE SURHIT ANSWER o sear Exercise 4-3 For each situation, list the assumption, priniple, or constraint that has been violated,if any. List only one answer for each situation. East Lake Company recognizes revenue at the end of the production cyde but before sale. The price of the product,as wellas the amount that can be sold, is not certain. (b) Hilo Company is in its fith year of operation and has yet to issue financial statements. (Do not use the full dsdosure (c) Gomez, Inc. is carrying inventory at its original cost of $100,000. Inventory has a fair value of $1 10,000. principle.) reports only current assets and current liabilities on its balance sheet. Equipment and bonds payable are reported as current assets and current liabilities, respectively. Liquidation Chieu Company has inventory on hand that cost $400,000. Chieu value of $425,000. Toxy Syles, president of Classic Music C company funds and debited the "Computers" account (e) of the company is unlkely reports inventory on its balance sheet at its current fair (f) Lony Snehu nts asd odi cn nv ronaduse She poifer the cnsputer byrusing INK TO TEXT VIDEO: APPLIED SKELLS Question Attempts: 0 of 3 used SAVE FOR LATE SURNIT ANDWER us.com/edugen/shared/assignment/test/agistuniTidm 16070274N10023 e to search 746 PM V17/2019