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evablogger [386]
3 years ago
15

The owner of Shady Grove Company has the bookkeeper write company checks to pay for his personal items. This violates __________

.
Business
1 answer:
Rainbow [258]3 years ago
7 0

Answer:

The separate-entity assumption

Explanation:

The separate-entity assumption is a principal in accounting according to which the financial transactions of a business and the personal expenses of the owners is to kept separate from each other. The expenses derived solely for the business is only to be counted under the expenses of the company. Inclusion of any personal expenses of the owner or any partner of the business is prohibited under this principal.  

In the given excerpt, the owner of Shady Grove Company had violated the separate-entity assumption by including the expenses of his personal items under the name of the Company.

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Explanation:

Agents are not to use the knowledge that their principal paid them to acquire or that they acquired for the use of their principal for themselves.

If Mary bought a property knowing that Karen wanted to buy that property, the Court will award the title to Karen because Mary has violated her duty not to use knowledge of information intended for her principal for her own benefit.

6 0
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The statement that reports net income or loss for a certain period in time is the
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Answer:

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Explanation:

The Income Statement is a report that measures a company's financial performance over a specific accounting period. This statement is also known as the Profit and Loss Statement and Earnings Statement. The Income Statement shows a company's <em>revenues, expenses, net profit, </em>and <em>net loss</em> from both operating and non-operating activities.

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True or False: The date line of a balance sheet depicts a specific day and not a period of time.
GalinKa [24]
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Payment for the early retirement of long-termbonds payable (carrying amount $370,000) $375,000Distribution in Year 2 of cash div
klasskru [66]

Answer:

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The carrying ammount, gain and losses are not relevant for the cash flow statement.

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