1
Question
A concept that a business enterprise will not be sold or liquidated in the near future is known as_______.
A concept that a business enterprise will not be sold or liquidated in the near future is known as_______.
Open in App
Solution
The correct option is A Going concern
The concept of going concern assumes that a business firm would continue to
carry out its operations indefinitely, i.e. for a fairly long period of time and
would not be liquidated in the foreseeable future. This is an important
assumption of accounting as it provides the very basis for showing the value
of assets in the balance sheet.
The concept of going concern assumes that a business firm would continue to carry out its operations indefinitely, i.e. for a fairly long period of time and would not be liquidated in the foreseeable future.
This is an important
assumption of accounting as it provides the very basis for showing the value
of assets in the balance sheet.
Suggest Corrections
0
Similar questions
View More
Join BYJU'S Learning Program
Explore more
Join BYJU'S Learning Program
