首页
外语
计算机
考研
公务员
职业资格
财经
工程
司法
医学
专升本
自考
实用职业技能
登录
外语
Accounting information is expressed primarily in monetary terms. The monetary unit is the prime means of measuring assets. This
Accounting information is expressed primarily in monetary terms. The monetary unit is the prime means of measuring assets. This
admin
2012-01-26
20
问题
Accounting information is expressed primarily in monetary terms. The monetary unit is the prime means of measuring assets. This measure is not surprising given that money is the common denominator in business transactions. In the United States, the monetary unit is the dollar; in Great Britain, the pound sterling; in Japan, the yen. The stable-monetary-unit concept provides an orderly basis for handling account balances to produce the financial statements.
Unlike a liter, a foot, and many other measurements, the value of the monetary unit may change over time. Most of us are familiar with inflation. Groceries that cost $50 three years ago may cost $60 today. The value of the dollar changes. In view of the fact that the dollar does not maintain a constant value, how does a business measure the worth of assets and liabilities acquired over a long span of time? The business records all assets and liabilities at cost. Each asset and each liability on the balance sheet is the sum of all the individual dollar amounts added over time. For example, if a company bought 100 acres of land in 1975 for $60,000 and another 100 acres of land in 1992 for $300,000, the asset of land on the balance sheet carries a $360,000 balance, and the change in the purchasing power of the dollar is ignored. The stable-monetary-unit concept is the accountant’s basis for ignoring the effect of inflation and making no restatements for the changing value of the dollar. Let’s look at the short-comings of this concept. Suppose another company paid $ 600,000 for the same 200 acres of land in 1992. Its land would be the same as the preceding company’s land, but its balance sheet would show a much higher amount for the land. How do we compare the two companies’ balance sheets? The comparison based on the stable-monetary-unit concept may not be valid because mixing dollar values at different times is like mixing apples and oranges.
What does an asset mean on the balance sheet?
选项
A、It means all the assets recorded in a period of time.
B、It means the sum of all the individual asset amounts added over time.
C、It means the individual dollar amount.
D、It means accounting information expressed in special terms.
答案
B
解析
文章第二段提到The business records all assets…individual dollar amounts added over time.资产在资产负债表上通常以单个资产的总和来呈现。
转载请注明原文地址:https://kaotiyun.com/show/n6id777K
本试题收录于:
FECT综合(现代金融业务)题库金融英语(FECT)分类
0
FECT综合(现代金融业务)
金融英语(FECT)
相关试题推荐
[A]plane[B]homework[C]money[D]medicine[E]umbrella[F]newspaper[G]trainPeoplereaditforsomeinformation.
We’veallhadworkanddothingsthatwedidnotenjoy.Usually,somepeoplewouldtellustobe【C1】______enthusiastic(热情的)."Yo
—______doyouthinkofthisstory?—It’sveryinteresting.
Whatkindofexerciseburnsthemostcaloriesaccordingtothechart?
Mr.Blackwasyoungandable.Thebosslikedhim.LastmonthhewassenttoChinaonbusiness.BeforehewentbackfromChina,h
Abusinessmanboughtsomegoodsatamarketinthemorningandsetoutatonceforhomewithallhisbags,forhewishedtobei
MarawasgoingtostaywithherfriendFannyforthreedays.Aweekbeforehertrip,shecalledFannytotellherwhenthetrain
MarawasgoingtostaywithherfriendFannyforthreedays.Aweekbeforehertrip,shecalledFannytotellherwhenthetrain
NarberthLibraryoffersyoupleasurereadingandagreatnumberofinformationservices.TheLibrarywasbuiltin1921byamemb
A、No,youcanuseyourcreditcard.B、Yes,youcanuseyourcreditcard.C、Yes,youcannotuseyourcreditcard.B
随机试题
论述马克思主义政党是新型的革命政党的内涵。
灯火荧荧,每至夜分荧荧:夜分:
25岁初孕妇,妊娠39周,不规律宫缩2天,阴道少许血性黏液。查血压136/96mmHg,宫高38cm,腹围106cm,胎心158次/分,宫缩持续32秒,间隔6分钟,肛查宫口未开,宫缩激惹试验出现早期减速。临产18小时再查宫缩减弱,胎心150次/分,肛查
申请消防工程验收应提交的资料包括()等。
某油罐区一容量为600m3的内浮顶油罐用于储存车用乙醇汽油,选用低倍泡沫灭火系统,喷射方式和泡沫液选择正确的是()。
国家统一的会计制度,是指国务院财政部门根据《中华人民共和国会计法》制定的关于会计核算、会计监督、会计机构和会计人员以及会计工作管理的制度。()
公共物品的生产决策与私人物品的生产决策一样由市场经济的运行规则决定。()
下列各项指标中,不能用来分析企业短期偿债能力的是()。
F公司是一家商业企业,主要从事商品批发业务,该公司2015年实际和2016年预计的主要财务数据如下:其他资料如下:(1)F公司的全部资产均为经营性资产,流动负债均为经营性负债,长期负债均为金融性负债,财务费用全部为利息费用;估计债务价值时采用账面价值
马克思主义政治经济学的研究对象是()。
最新回复
(
0
)