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Citing suitable examples, briefly explain of the following terms: (i) Accounting concepts (ii) Accounting policies (iii) Accounting standards

      

Citing suitable examples, briefly explain of the following terms:
(i) Accounting concepts
(ii) Accounting policies
(iii) Accounting standards

  

Answers


Mutiso
I) Accounting concepts
These are broad assumptions which underlie preparation of financial statements of
a company.
Examples of accounting concepts include the Historical Concept, Prudence,
Accrual Basis etc.,
II) Accounting standards
They are authoritative statements of how particular types of transactions and events
should be reflected in financial statements. They are developed to achieve
comparability of financial information between and among different organizations.
III) Accounting policies
These are the principles, bases, conventions, rules and practices applied by an entity
that specify how the effects of transactions and other events are to be reflected in
its financial statements though
i) Recognizing
ii) Selecting measurement basis for a/c
iii) Presenting
assets, liabilities, gains, losses and charges to shareholders funds.
Mutiso answered the question on November 19, 2018 at 06:59


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    kalamuandkaratasi335.png
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