1.

Are set of logical ideas and procedures that guide the accountant in recording and communicating economic
information.
2. These are sourced from the?
3. Under this concept, the business is viewed as a separate person, distinct from its) owner.
4. Under this concept, assets are initially recorded at their acquisition cost.
5. Under this concept, the business is assumed to continue to exist for an indefinite period of time.
6. Under this concept, some costs are initially recognized as assets and charged as expenses only when the related
revenue is recognized.
7. Under this concept, economic events are recorded in the period in which they occur rather than at the point in
time when they affect cash.
8. Under this concept, the accountant observes some degree of caution when exercising judgments needed in
making accounting estimates under conditions of uncertainty.
9. Under this concept, the life of the business is divided into a series of reporting periods.
10. Under this concept, assets, liabilities, equity, income, and expenses are stated in terms of a common unit of
measure, which is the peso in the Philippines.
11. This concept guides the accountant when applying accounting principles. This is because accounting principles
are applicable only to material items.
12. Under this concept, the costs of processing and communicating information should not exceed the benefits to be
derived from the information’s use.
13. This concept is related to both the concepts of materiality and cost-benefit.
14. This concept requires a business to apply accounting policies consistently, and present information consistently,
from one period to another.
15. BASIC ACCOUNTING CONCEPTS
16. Is tasked with regulating corporations, including partnerships.
17. Is tasked with collecting national taxes and administering the provisions of the Tax code.
18. Is tasked with regulating banks and other entities performing banking functions.
19. Is tasked with regulating cooperatives.
20. Are the traits that determine whether an item of information is useful to users.
21. These are the characteristics that make information useful to users. They consist of the following:
22. These characteristics support the fundamental characteristics. They consist of the following:
23. It has a predictive value if it can help users to make predictions about future outcomes.
24. This concept is related to the predictive value. Information has a confirmatory value if it can help users confirm
their past predictions.
25. is an 'entity-specific aspect of relevance, meaning it depends on the facts and circumstances surrounding a
specific entity.
26. Information is faithfully represented if it is factual, meaning it represents the actual effects of events that have
taken place.
27. All information necessary for users to have a complete understanding of the financial statements is provided.
28. Information is selected or presented without bias Information is not manipulated to increase its favorability or
decrease its unfavorability.
29. It means the information is not materially misstated.
30. Information is comparable if it can help users identify similarities and differences between different sets of
information.
31. Information is verifiable if different users could reach a general agreement as to what the information intends to
represent.
32. Information is timely if it is available to users in time to be able to influence their decisions.
33. Information is understandable if it is presented in a clear and concise manner.