Question

On December 31, 2014, Track Record Inc.'s sales people have firm outstanding orders totaling $1.66 million, which, it has guaranteed its customers, will be fulfilled during the month of January 2015. If Track Record includes the $1.66 million in its sales figures for 2014, it will be violating the _______ concept.

Answer 1

Answer:

Verifiability

Explanation:

The verifiability is one of the concepts of accounting.

Refers to the ability, through consensus amog measures, to ensure that information represents what it purports to represent, or that the chosen method of measurement has been used without error or bias.

In relation to the enhancing qualitative characteristics of verifiability, the iASB conceptual framework states:

Verifiability means that different knowledgeable and independent observers could reach consensus, although not necessarily complete agreement, that a particular depiction ias a faithful representation.