Question

Question 3
A) During the year the company
purchased ballpoint pens of rs 500.
These were issued to employees
and was still in use at the end of
the year, which accounting concept
.
​

Answer 1

Answer- Materiality convention will be followed in dealing with this item. As per the concept, items having an insignificant effect or being irrelevant to the users of financial statements need not be disclosed. Hence, it will be treated as an expense and will be debited to the stationery account.

Answer 2

Answer:

Explanation:

The materiality Convention will be followed in dealing with this item. As per this concept, items having an insignificant effect or being irrelevant to the users of financial statements need not be disclosed. Hence, it will be treated as an expense and will be debited to Stationery Account.