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The _____________assumption assumes that the life of a company can be divided into artificial time periods to provide timely information to external users.

User Solotim
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Answer:

Periodicity assumption

Step-by-step explanation:

Periodicity assumption is the one which is also called as the time period assumption, it is described as the accounting guideline which follows the accountants to divide or separate the complex, the ongoing activities of the business into the periods of the week, quarter, month and year.

Therefore, the assumption of the periodicity, assumes the life of the company to be divided or separated into the artificial time periods in order to provide the timely information to the external users.

User Daniel Gustafsson
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