Explain any four Limitations of Accounting.
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1. Ignores Qualitative Data (like power outage, labour strikes)
2. Window dressing (numbers can be manipulated to show a better financial position than what it is in actuality)
3. based on historical figures/ original costs (ignores the changes in the value of the assets)
4. based on personal judgement (accountant decides the method of stock valuation and method of depreciation)
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