<3

I TRUST YOU FOR ONCE. :)

happy mamamama day :)
:O sry four mama-s didn't prepare any present :(

(L) POA. i actually could balance trading, profit and loss a/c w balance sheet!
hahah.

But yet still tons of stuff to memorize.
I only done notes for geo yet forgotten all of them cause i study them about a week ago.
):

ACCOUTING CONCEPTS!

1) ACCOUNTING ENTITY- the business and its owners are treated as being separate and different.

2)GOING CONCERN- the business entity will continue to operate indefinitely.

3)ACCOUNTING PERIOD- the life of a business can be divided into specific time periods for the purpose of preparing financial reports.

4)MONEY MEASUREMENT- only transactions that can be measured in money terms should be included in the accounting records.

5)ACCRUAL CONCEPT- revenue is recognised when it is earned and expenses when they are incurred.

6)MATCHING PRINCIPLE- revenue earned during an accounting period has to be matched with the expenses associated with earning that revenue.

7)MATERIALITY- where the amount involved is immaterial, the item will be treated as an expense in the period in which it is paid, rather than being strictly

8)CONSISTENCY- the same accounting method should be applied in each accounting period when preparing financial reports for the same business.

9)DUALITY- the twofold aspect of each transaction affects a business in two different ways.

Lazyxzxzx to write more.
kthxbai :)