Which of the following best represents the practice of conservatism? Question 1 Select one:

a. A companys accountants try to make sure that its expenses are reported in the same period as the revenues they helped generate.

b. A company needs a loan, so it makes accounting choices that allow the company to look as good as possible.

c. An accountant is unsure if a cost should be reported as an expense or an asset. Even though it is most likely an asset, the accountant reports it as an expense.

d. An accountant purposefully understates a companys revenues to make the companys financial position look worse.

e. A company aced with a cost that could be reported as an expense or an asset. Both choices face equally likely possibilities, so the company reports the cost as an expense.