"Which of the following assumptions means that money is the common denominator of economic activity and provides an appropriate basis for accounting measurement and analysis?
a. Monetary unit.
b. Periodicity.
c..Economic entity.
d. Going concern."

Respuesta :

Answer:

Which of the following assumptions means that money is the common denominator of economic activity and provides an appropriate basis for accounting measurement and analysis?

a. Monetary unit

Explanation:

Monetary unit assumption (also known as money measurement concept) states that only those events and transactions are recorded in books of accounts of the business which can be measured and expressed in monetary terms.

The monetary unit is a simple and universally recognized basis of communicating financial information