The principle of caution means?

False

True.

The answer its;

True contain.

Wrong

True, according to conservatism principle in accounting

 Is principle from GAAP, the caution  principle According to the principle, the company should take the least optimistic approach to the situation, Accountants just have to choose the most conservative outcome if two different outcomes are available.

Example 

 the expected losses are taken into account before they happen and not taking into account the expected profits only when actually achieved,

IN general, it is true contain

Confidence is good but control is better, so be careful in all areas