Question

Money measurement and matching concept

Answer 1

Answer:

money measurement concept : The money measurement concept states that a business should only record an accounting transaction if it can be expressed in terms of money. This means that the focus of accounting transactions is on quantitative information, rather than on qualitative information.

The matching principle requires that revenues and any related expenses be recognized together in the same reporting period.

Answer 2

Answer:

Money measurement concept states that only those transaction should be recorded in accounting books which are capable of being written in terms of money. For example, furniture purchased for Rs2,50,000; purchased 10000 kg of sugar etc.

$\bold \red{Celestial} \bold{Centrix}$