Question

What is meant by accounting concepts?

Answer 1

These basic accounting concepts are as follows: Accruals concept. Revenues are recognized when earned, and expenses are recognized when assets are consumed. ... Auditors will only certify the financial statements of a business that have been prepared under the accruals concept. Conservatism concept.

Answer 2

These basic accounting concepts are as follows: Accruals concept. Revenues are recognized when earned, and expenses are recognized when assets are consumed. ... Auditors will only certify the financial statements of a business that have been prepared under the accruals concept.