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प्रश्न
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.
पर्याय
Matching principle
Principle of full disclosure
Dual aspect principle
Realisation concept
उत्तर
Realisation concept
Explanation:
The realisation concept states that revenue is recognized and deemed to be realized when the goods have been transferred, or the services have been rendered to a customer. There is a reasonable certainty of payment. This principle ensures that revenue is recorded in the accounting period in which it is earned, not necessarily when payment is received.
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संबंधित प्रश्न
Explain the need for GAAP for accounting.
______ is the language of business.
This concept assumes that the business will continue to exist for a long time in the future.
According to this principle, accounts should be prepared in such a way that all the material information required by users of financial statements is clearly disclosed.
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.
Discuss in brief the basic principles of accounting.
Explain Accounting Period Concept.
Write short note on Going Concern Concept.
Explain the complete disclosure principle.
Explain the revenue principle.
