FUNDAMENTAL PRINCIPAL OF ACCOUNTING
This Study Note
includes
1.1 Definition of Accounting
1.2 Accounting concepts
1.3 Accounting Convention
1.4 Importance of Accounting
1.5 Terminology of Accounts
1.1 Definition of
Accounting
Accounting
: Defines in different way with the different Accounting experts ,
some of the common definition are:
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1.2 Accounting
concepts
Accounting
concepts
: Generally Accepted
Accounting Principle (GAAP) issued different Accounting concepts to be followed by the different user of
Accounts so that to be on the same page
of Accounts.
Following are the different Accounting concepts are,
1.3 Accounting
Convention: These
are the generally accepted customs formed on the basis of agreement of
different parties. They are different form accounting concepts as concepts
gives a theoretical aspect while conception are generally accepted concepts.
There are four main conventions that are
universally accepted. They are
