Question

Cash basis of accounting is a better basis for depicting the correct financial position of an enterprise. Do you agree with the above statement? Explain it

Answer 1

Heya mate ur answer is...

I disagree with the above statement because cash basis of accounting does not give a true and fair view of the profit or loss and the financial position of an enterprise because it ignores outstanding and prepaid expenses and accrued income and income received in advanced.


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