Multiple choice

Which concept says that a business firm would continue to carry out its operations indefinitely?

  1. Going concern concept

  2. Business entity concept

  3. Monetary unit concept

  4. None of these
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A Correct answer
Explanation

The going concern concept assumes that the business entity will continue its operations for an indefinite period. This assumption allows the business to value its assets based on their long-term utility rather than their immediate liquidation value.

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