It provides the very basis of recording business transactions in the books of accounts. This concept assumes that every transaction has a dual effect, i.e. it affects two accounts in their respective opposite sides It is commonly expressed in terms of fundamental accounting equation Assets = Liabilities + Capital The knowledge of dual aspect helps … Read more
The basic accounting concepts are referred to as the fundamental ideas or basic assumptions underlying the theory and practice of financial accounting andare broad working rules for all accounting activities and developed by the accounting profession. The important concepts have been listed as below:• Business entity;• Money measurement;• Going concern;• Accounting period;• Cost• Dual aspect … Read more