‘Never anticipate profit, but provide for all possible losses”. This phrase is used to describe the principle of:
Matching
Prudence
Consistency
Cost
Which principle is used to record immaterial item?
Principle of materiality
Matching principle
Historical principle
Revenue recognition principle
Which concept says that business unit has indefinite life?
Accounting entity
Money measurement
Going concern
Accounting period
Who gave definition for material?
American Accounts Association
Accounting Standard Board
Institute of Chartered Accounts of India
European Union Accounts
Only information which can be expressed in terms of money can be recorded in the accounting records. This is known as:
Money measurement concept
Going concern concept
Dual aspect concept
Accounting entity concept
The relationship of assets and liabilities is known as:
Accounting equation
Accounting principle
Accounting convention
Accounting rules
Which accounting principle ensures that the accounting records present a realistic picture of the position of the business?
Conservatism
Convention
Materiality
Disclosure
In business entity concept, everything is recorded:
In view point of business
View point of owner
View point of customer
View point of both owner and business
The fixed asset is shown on balance sheet on their book value. This means:
Original cost less depreciation
Depreciation value
Original cost plus depreciation
Diminishing return value
Looking for similar information about the same business for an accounting period to another accounting period is known as:
Comparability
