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प्रश्न
On the basis of this concept, only those transactions are recorded in accounts which can be expressed in terms of money.
पर्याय
Money measurement concept
Accounting period concept
Business entity concept
Realisation concept
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उत्तर
Money measurement concept
Explanation:
The money measurement concept states that only transactions and events that can be measured in monetary terms are recorded in the accounting records. Non-monetary items, such as employee skills or customer satisfaction, are not recorded in the financial statements because they cannot be quantified in terms of money.
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संबंधित प्रश्न
What does GAAP stand for in Accounting?
Explain the Business Entity Concept.
Explain the Money Measurement Concept.
Explain the concept of The Dual Aspect Principle.
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 a liability of the firm. Answer with reference to the concept of Accounting.
Explain 'Matching Concept' of GAAP.
"Fixed assets should be valued at the market price." Comment.
Explain The Dual Aspect Principle.
Explain the complete disclosure principle.
