Identify the accounting concept, assumption, or principle that best applies to each of the following situations:
a. Burger King, the restaurant chain, sold a store location to McDonald's. How can Burger King determine the sale price of the store —by a professional appraisal, Burger King original cost, or the amount actually received from the sale?
Under historical cost principle, assets and liabilities are reported in the balance sheet of the entity at their purchase price, even of their current price has changed.
