Join TSR now and get all your revision questions answeredSign up now

AS OCR Accounting Concepts (Prudence, consistency...) Watch

    • Thread Starter
    Offline

    0
    ReputationRep:
    Can anyone write all the accounting concepts and their definitions necessary for AS ? or at least show me where i can find them =)
    Offline

    2
    ReputationRep:
    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
    • Thread Starter
    Offline

    0
    ReputationRep:
    oh thank you very much
 
 
 
Poll
What is your favourite film genre?

The Student Room, Get Revising and Marked by Teachers are trading names of The Student Room Group Ltd.

Register Number: 04666380 (England and Wales), VAT No. 806 8067 22 Registered Office: International House, Queens Road, Brighton, BN1 3XE

Quick reply
Reputation gems: You get these gems as you gain rep from other members for making good contributions and giving helpful advice.