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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.
विकल्प
Money measurement concept
Accounting period concept
Business entity concept
Realisation concept
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
Explain the Business Entity Concept.
Justify the following:
Every transaction is recorded in at least three accounts.
This concept assumes that the business will continue to exist for a long time in the future.
According to this principle, revenue is deemed to be realised when the goods have been transferred or the services have been rendered to a customer.
"Firms live forever." Explain with reference to the concept of accounting.
What is meant by going concern concept of Accounting.
Name the basic principles of accounting.
Accounts should disclose all material information (with reference to the concept of accounting). Justify either for or against by giving two reasons.
"Fixed assets should be valued at the market price." Comment.
Explain the realisation principle.
