Question

state four limitations of accounting? ​

Answer 1

Measurability. One of the biggest limitations of accounting is that it cannot measure things/events that do not have a monetary value. If a certain factor, no matter how important, cannot be expressed in money it finds no place in accounting.

Answer 2

Answer:

Recording only monetary items.

Time value of money.

Recommendation of alternative methods.

Restrain of accounting principles.

Recording of past events.

Allocation of the problem.

Maintaining secrecy.

The tendency for secret reserves.