Question

Explain the accounting concepts which guide the accountant at therecoding stage

Answer 1

the accounting concepts are-1) entity concept: a business or an organization and its owners are treated as two separately identifiable parties. This is called the  entity concept . 2) Money measure concept:its underlined that the fact that in  accounting  and  economics generally, every recorded event or transaction is measured in terms of money 3) Going Concern concept:is a basic basic underlying assumption in accounting. The assumption is that a company or other entity will be able to continue operating for a period of time. 4) dual entity concept:it states that every business transaction requires recordation in two different accounts.