Accounting records only those transaction and events that are in:
Financial nature
Estimates
Original cost
Manipulation
The other name of realization principle is:
Revenue recognition principle
Historical cost principle
Cost concept
Consistency
According to dual aspect concept, business transactions have:
One aspect
Two aspects
Three aspects
Four aspects
A rule which sets down how the financial activities of a business are recorded is known as:
Concepts
Convention
Rule
Regulations
Which principle is used to enter all small expenses in one account?
Materiality
Matching
Historical cost
Accrued
Legal cost incurred while purchasing a fixed asset comes under:
Revenue expense
Revenue expenditure
Capital expenses
Capital expenditure
The basic principle of accounting is:
Matching principle
Verification and objectivity principle
Dual aspect principle
As per historical cost, it is difficult to compare transactions occurring at different time. Why?
Reflation
Inflation
Utilization
Expansion
This principle emphasises the importance of not recording a profit until it has actually been earned. The principle is:
Going concern
Realization
Money measurement
What is the strength of a going concern concept?
Business will close down in near future
No profit
No legal formalities
Business continues to function for indefinite period
