Advertisements
Advertisements
प्रश्न
Explain the revenue principle.
Advertisements
उत्तर
The revenue principle states that revenue should be recognised when the goods are delivered by sellers and accepted by buyer, i.e., ownership of, goods changes. Hence the revenue is assumed to be realised when a legal right to receive it arises. Credit sales are treated as revenue on the day sales are made and not when money is received from the buyer.
APPEARS IN
संबंधित प्रश्न
According to the ______ Principle of accounting, transactions are recorded on the assumption that the business will exist for an indefinite period of time.
______ is the language of business.
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:
Every transaction has two effects. (with reference to the concept of Accounting). Give a reason either for or against.
"The capital provided by the owner is treated as a liability of the firm." Explain the concept on which the above depends.
Explain any two basic concepts of accounting.
Write short note on the going concern concept.
Why are Generally Accepted Accounting Principles (GAAP) needed?
Explain the principle of consistency.
