Interested to Buy Any Domain ? << Click Here >> for more details...
Explain "basic fundamental Assumptions"?
- 2 Answers
- 8178 Views
- I also Faced
- E-Mail Answers
Answers were Sorted based on User's Feedback
Answer / deepak jha
Basic fundamental Accounting assumptions are:
1: Going concern
2: consistency
3: Accurual
| Is This Answer Correct ? | 37 Yes | 2 No |
Answer / yashita tripathy
*accounting entity - wherein the business considered as "a
separate and distinct entity apart from the owner"
* going concern assumption - the business is assumed to have
a continuous life of existence.
*time period assumption -since the business is assumed to
have a continuous life of existence, the life of the
business is divided into equal periods wherein at the end of
each period, the accountant prepares a financial statements.
the accounting periods can be monthly basis, quarterly
basis, semi-annual basis and yearly or annual basis (you can
use calendar year, fiscal year or natural business year).
*unit of measure - use of the country's standard monetary
unit (like dollars in U.S.A, Yen in Japan). This is to
assure that the "unit of measure| has a stable value (which
means, the purchasing power is constant regardless of
inflationrates or fluctuations in the money value.
* Accrual basis - assumes that the recording of income and
expenses follow the accrual basis of accounting. That is :
income is recognized when earned regardless of when it is
received and expenses is recognized when incurred regardless
of when it is paid.
| Is This Answer Correct ? | 0 Yes | 0 No |
How do the accounting standards facilitate the work of accountants?
what is non stock?
What is marginal costing?
why we prepare the brs
What are the types of the Balance sheets ?
Difference between debenture and insecure loans?
What is 'C'Form ? and what are the uses with 'C'Form? its realed to Central Govt ( or ) State Govt.
4 Answers Genpact, ITC Infotech, MC Engineers,
A sample book on interviews is ready for free circulation with 7 chapters i.e Journal entries helpful for various occassions,Terminology,Abbreviations,Test your terminology,Multiple answers, Fill in blanks and Income tax send your requisition for Free Book Immediately to satyaki_raju@yahoo.co.in
What is Income Statement ?
Take me through the entire vendor cycle.
What is provision for depreciation? What is it entry in P&L & Balance sheet? How it is different from Depreciation expense?
What will be entry pass in tally if TDS paid by Credit Card.?
Audit 
