Q$.5$ Identify and mention Accounting Concepts and Conventions for the below statements.

$1.$ There is neither the intention nor the necessity to liquidate the particular business

venture in the foreseeable future.

$2.$ The personal assets of the owners or shareholders are not considered while recording

and reporting the assets of the business entity.

$3.$ The fixed asset will be recorded at cost at the time of its purchase but may systematically

reduce its value by charging depreciation.

$4.$ The principle of valuing the stock at cost or market price whichever is lower should be

followed year after year to get comparable results.

$5.$ The accountant should not anticipate income and should provide for all possible losses.

$6.$ The decision of whether the transaction is material or not should be made by the

accountant on the basis of professional experience and judgment.