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The precept of objectivity implies that the accounting information needs to be verifiable and free from any bias. In reality, to generate the dependable accounting info, the essential requirements are neutrality (free from bias) and verifiability. The historic value recorded within the books is on the premise of authentic documents, which include the data, which is not affected by the personal bias. Due to this fact, the accounting entries are recorded on the objective basis and is verifiable from the supply documents. Historic cost accounting, therefore, is most popular inspite of its shortcomings attributable to objectivity.
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