NECO Accounting 2022 Objective — Question 27
Question 27 of 50 from the National Examinations Council (NECO) Accounting 2022 Objective paper, with the correct answer and a full explanation.
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Provision for doubtful debts is made in conformity with
- A. materiality concept
- B. prudence conceptCorrect
- C. money measurement concept
- D. business entity concept
Explanation
The prudence concept requires an accountant to exercise caution and make provision for anticipated losses such as doubtful debts.
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