9.Profit is a liability for a firm
and the loss is an asset under
which of the following
concepts *
1) Business Entity Concept
2) Materiality Concept
3) Historical Record Concept
4) Accounting Period Concept
Answers
Answered by
6
Answer:
accounting period concept.................
Answered by
0
Answer:
Business Entity Concept
Explanation:
Profit is obligatory/liability because the business is run in the capital of the owner/shareholders. Therefore, the profit will be refunded to the business owner. Therefore, it is the responsibility of the company. In other words, the business owes to the business owner.
Entrepreneurs must also be held responsible in the event of loss.
Company compensation. Therefore , it is an asset for the company. In other words, the entrepreneur owes to the company.
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