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प्रश्न
This principle is an exception to the principle of full disclosure.
पर्याय
Materiality
Consistency
Conservatism
Timeliness
उत्तर
Materiality
Explanation:
The materiality principle is an exception to the principle of full disclosure. According to the materiality principle, only information that is significant enough to influence the decision-making of financial statement users needs to be fully disclosed. Insignificant or immaterial items can be omitted or aggregated as long as they do not affect the overall understanding of the financial statements.
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संबंधित प्रश्न
This principle states that accounting procedures and methods should remain consistent from one year to another.
According to this principle, record all anticipated losses but ignore all anticipated gains. Industry practice.
This principle states that the financial statements should be prepared quickly at the end of the accounting period.
Closing stock is always valued at market price. Justify for or against by citing two reasons.
Explain the principle of materiality.
Explain the principle of Timeliness.
"Principle of consistency is a modifying principle." Comment.
Name and explain the accounting convention which says record all anticipated losses but ignore all anticipated gains.
Explain the principle of industry practice.
Explain the accounting conventions.
