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प्रश्न
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.
उत्तर
The money measurement concept states that only transactions that can be quantified in monetary terms are recorded in accounts. In other words, no matter how significant an event is to the business, it won't be recorded unless its monetary impact can be measured with reasonable accuracy. This concept ensures that accounting records are consistent, relevant, straightforward, and easy to understand.
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संबंधित प्रश्न
According to the ______ Principle of accounting, transactions are recorded on the assumption that the business will exist for an indefinite period of time.
Justify the following:
Every transaction is recorded in at least three accounts.
Explain the need for GAAP for accounting.
Explain the concept of The Dual Aspect Principle.
This principle suggests that every debit has a corresponding and equal credit.
Accounts should disclose all material information (with reference to the concept of accounting). Justify either for or against by giving two reasons.
Explain the money measurement principle of accounting.
Explain any two basic concepts of accounting.
Explain Accounting Period Concept.
"The principle of full disclosure and principle of materiality are contradictory." Comment.
