That the balance sheet
Also the resources available for determining current values are scatter making updating these values a challenge. Therefore recording assets at cost satisfies the feasibility convention....
Also the resources available for determining current values are scatter making updating these values a challenge. Therefore recording assets at cost satisfies the feasibility convention....
However the exception to this rule is impairment that may arise due to depreciation of assets. For example a plot of land is acquir by...
Historical cost provides a reliable basis for matching. The cost of an asset to the period in which the asset contribut to revenue generation. Conservatism...
klo Why Was the Cost Concept Introduc in Accounting The cost concept also known as the historical cost concept is a fundamental accounting principle that...
The study of cost concepts in accounting provides a basis for understanding pricing. At a professional level it helps managers in taking appropriate. Decisions such...
Achieve a common goal ensuring profitability and sustainable business growth. Understanding these two forms of accounting is more than just a matter of bureaucratic necessity....
It uses globally accept accounting principles which makes the financial reports produc trustworthy. Comparison Because it uses a standard methodology financial accounting allows comparison between...
They will be interest in the companys ability to pay for goods or services on time. Regulatory authorities Governments and regulatory bodies such as the...
It helps you prict future trends and make strategic decisions. Objectives of financial accounting Financial accounting serves several important business purposes. It provides company financial...
The cash flow statement outlines cash generat or us in various business operating investing and financing activities revealing how a company manages its cash resources....
Profitability is achiev through managing costs in inefficient areas. Resource allocation effectively utilizes resources and minimizes waste. Attractive pricing allows you to attract more customers...
Enabling managers to control costs effectively. Increase profits. By providing a clear picture of the costs of each product or service cost accounting. Allows you...