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प्रश्न
Explain the concept of The Dual Aspect Principle.
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उत्तर
This principle suggests that every debit has a corresponding and equal credit. There must be a giver of benefit and also a receiver of the same. Suppose X purchases a car for ₹ 3,00,000. He will get the car and will pay cash ₹ 3,00,000. So one account (car) will be debited and another account (cash) will be credited with the same amount. This principle has given rise to the double entry system. It is due to this principle that both the sides of the Balance Sheet are equal and the accounting equation is always true, i.e.,
Capital = Assets - Liabilities
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संबंधित प्रश्न
Accounting principles are necessary due to which of the following reasons?
On the basis of this concept, only those transactions are recorded in accounts which can be expressed in terms of money.
According to Business Entity Concept:
What is meant by going concern concept of Accounting.
Name the basic principles of accounting.
With reference to the concept of accounting only those transactions are recorded in accounts which can be expressed in terms of money. Justify either for or against.
Explain Matching Concept of GAAP.
"The capital provided by the owner is treated as a liability of the firm." Explain the concept on which the above depends.
Explain the Dual Aspect Principle.
Name any four concepts of GAAP.
