Accountancy, asked by gv95327, 6 months ago

conservatism principle define

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Answered by ramangoyal146200848
3

Answer:

In accounting, the convention of conservatism, also known as the doctrine of prudence, is a policy of anticipating possible future losses but not future gains. This policy tends to understate rather than overstate net assets and net income, and therefore lead companies to "play safe".

MARK BRAINLIEST

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