Advertisements
Advertisements
प्रश्न
Explain the revenue principle.
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
What does GAAP stand for in Accounting?
GAAP stands for ______.
According to this concept, a business firm is treated as a unit separate and distinct from its owners.
It is due to this concept that financial statements are prepared at regular intervals, generally one year.
This principle suggests that every debit has a corresponding and equal credit.
What is meant by going concern concept of Accounting.
"The capital provided by the owner is treated as a liability of the firm." Explain the concept on which the above depends.
"Fixed assets should be valued at the market price." Comment.
Explain The Dual Aspect Principle.
Name any four concepts of GAAP.