13 fundamental principles

Answers

Answer 1

Equity: the financial statements must reflect with equity the different interests that are at stake within a company Entity: These are specific economic entities and not their owners when the data is reflected within the accounting March: It must be presumed that there is an operational continuity of the economic entity, so the figures reflected in the financial statements cannot reflect estimated values. Goods: the data refer to economic events, resources and obligations that can be valued in monetary terms. Time period: the financial statements provide information regarding periods of time determined based on the normal cycle of the company's operations. Accrued: all the resources and obligations of the period must be taken into account even if they have not been received or paid. Realization: the results economic should only be reflected when they have been made. This concept is closely linked to the previous one. Historical Cost: the recording of operations is based on historical costs, that is, costs of production, acquisition or exchange of goods. Prudential criterion: the criterion used when repairing the financial statements It must be healthy in relation to the selection on the basis to be used, so that a prudent decision is reached Relative importance: the relative effect on assets, liabilities, equity or on the result of operations for the year must be taken into account accounting Uniformity: quantification procedures must be applied uniformly from one accounting period to another Economic duality: the accounting structure rests on the premise of double entry: resources available for the achievement of objectives and the sources of said Resources Exposure: the financial statements must contain all the information necessary for an adequate interpretation of the financial situation. a of the company to which they refer.


Related Questions

Which process is responsible for causing rock to rise in a convection current?

Answers

Answer:

Seafloor spreading.

Explanation:

Seafloor spreading is a  process that is responsible for causing rock to rise in a convection current. Convection currents moves the Earth's rigid tectonic plates in the planet's fluid molten mantle. Seafloor spreading is a process in which tectonic plates split apart from each other. As the movement of tectonic plates from each other occurs, heat released from the mantle's convection currents makes the crust more plastic and less dense.

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