Posted inBasics Accounting – Systems Posted by admin August 16, 2021 There are two systems of accounting followed - ● Single Entry System ● Double Entry System Single…
Posted inBasics Accounting – Classification of Accounts Posted by admin August 16, 2021 It is necessary to know the classification of accounts and their treatment in double entry…
Posted inBasics Conservation or Prudence Posted by admin August 16, 2021 It is a policy of playing safe. For future events, profits are not anticipated, but…
Posted inBasics Convention of Materiality Posted by admin August 16, 2021 If the disclosure or non-disclosure of an information might influence the decision of the users…
Posted inBasics Convention of Disclosure Posted by admin August 16, 2021 The Companies Act, 1956, prescribed a format in which financial statements must be prepared. Every…
Posted inBasics Convention of Consistency Posted by admin August 16, 2021 To compare the results of different years, it is necessary that accounting rules, principles, conventions…
Posted inBasics Objective Evidence Concept Posted by admin August 16, 2021 According to the Objective Evidence concept, every financial entry should be supported by some objective…
Posted inBasics Accrual Concept Posted by admin August 16, 2021 As stated above in the matching concept, the revenue generated in the accounting period is…
Posted inBasics Matching Concept Posted by admin August 16, 2021 Matching concept is based on the accounting period concept. The expenditures of a firm for…
Posted inBasics Accounting Period Concept Posted by admin August 16, 2021 The life of a business unit is indefinite as per the going concern concept. To…