QUESTION 1 (10 marks) The board of directors of Long River Limited is meeting to discuss the past years results before releasing financial statements to the public. The discussion includes this exchange of conversation: Samson, company CEO: This has not been a good year! Revenue is down and expenses are way up. If we are not careful, we'll report a loss for the third year in a row. I can temporarily transfer some land that I own into the company's name, and that will brighten our statement of financial position. Bruce, can you change the method of depreciation from double- declining-balance to straight-line. Also all expenses should be paid as late as possible and record expenses when cash is paid. Then we can probably get a better profit figure." Bruce, company chief accountant: "Samson, you are asking too much. Generally accepted accounting principles are designed to keep this sort of thing from happening." Required: Discuss how Samson's proposals violate generally accepted accounting principles. Identify each specific principle involved. (10 marks)