Can anyone write all the accounting concepts and their definitions necessary for AS ? or at least show me where i can find them =)
Going Concern - financial statements assume that the business will still be in existence next year
Consistency - use the same method for your accounts every year for comparison (e.g. same depreciation method)
Prudence - never assume you will make a profit on an item, but always record an expected loss
Accruals - match every expense to the revenue in any one year (e.g. account for credit payments that aren't owed until next year, and deduct any prepayments)
Business Entity - basically separates business exp from personal exp
Materiality - don't include negligible fixed assets (something small like a stapler)
Objectivity - ensure all accounts are neutral and unaffected by opinion
Dual Aspect - ensure every transaction has a double entry
This might help http://www.bized.co.uk/learn/account...ait/work06.htm
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