- Economic entity assumption: If you have a business, even if you are a sole proprietor, the accountant will consider yourself separately from your business. - Monetary Unit Assumption: The Business activity you undertake is considered in US Dollars. - Time Period Assumption: a Business activity you undertake can be reported in separated time intervals, such as weeks, months, quarters or fiscal years. - Cost Principle: If you buy an item in 1980 at $100, it will be reported on your balance sheet as worth $100 today, independently on inflation or appreciation of the asset. - Full Disclosure Principle: You have to report all the relevant information of the business in the financial statements or the footnotes.