(Choose 1 answer)
What is the cost principle?
A. The principle that an audit will always cost more than it is worth
B. The principle that assets are reflected on a company's balance sheet at the greater of their cost or their fair value
C. The principle that liabilities are always reflected at the current cost of liquidating them.
D. The principle that assets are recorded at their historical cost.
E. The principle that assets are reflected on a company's balance sheet at the lower of their cost or their fair value
47
