Content Page On Basic Accounting Concepts, Principles and Regulatory Framework

Tweet Click to the respective topic: Content Page   Accounting Period Concept               Business Entity Concept      Consistency Concept                         Dual Aspect Concept   Full Disclosure Concept                     Going Concern Concept   Historical Cost Concept                      Matching Concept                 Materiality Concept                             Money Measurement Concept                      Prudence Or Conservative Concept    Substance Over Form More on Materiality concept Understand the […]

WHAT ARE THE UNDERLYING ASSUMPTIONS AND CONSTRAINTS IN THE PREPARATION OF THE FINANCIAL STATEMENT. ALSO EXPLAIN WHAT ARE THE DIFFERENCE BETWEEN ACCOUNTING POLICIES AND ACCOUNTING PRINCIPLES.

Tweet When preparing and presenting the financial statements, there is a common understanding of the underlying assumptions and constraints. Underlying assumptions are those principles, concepts or practice that entities  are assumed to apply when preparing the company’s financial statement which are as follows: Accrual basis which requires transactions and events to be recognized when they […]