Question

Which of the following is not salient features of accounting?

Options

• Accounting is both an art and a science.

• Accounting records transactions and events of a financial nature only.

• Classifying means the process of grouping the entries or transactions of one nature at one place.

• If the transaction cannot be measured in terms of money, then also it should be recorded.

Answer 1

If the transaction cannot be measured in terms of money, then also it should be recorded.

Explanation:

This is not a salient feature of accounting because only transactions measurable in monetary terms are recorded. Non-monetary events like employee skills or customer satisfaction are not included in accounting records.