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Which accounting concept applies when a work sheet is prepared at the end of each fiscal cycle to summarize the general ledger information needed to prepare financial statements?

(A) Business Entity
(B) Accounting Period Cycle
(C) Going Concern
(D) Full Disclosure

User Jhoepken
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Answer:

(B) Accounting Period Cycle

Step-by-step explanation:

Accounting Period Cycle is the period

when a work sheet is prepared at the end of each fiscal cycle to summarize the general ledger information needed to prepare financial statements.

An accounting period cycle could be a fiscal year, calendar year or a 4-4-5 calendar year.

Going concern means a company is profitable enough to continue operations into the foreseeable future.

A business entity is created by at least one person under corporate law to carry out business activities.

Full disclosure is a requirement that a business disclose all material information relevant to the business.

User Dreagan
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