Befa elrv-class29

business economics and financial analysis

1. Accounting concepts and conventions By Dr.T Vara Lakshmi Associate Professor & Head Master of Business Administration Business Economics and Financial Analysis

2. Accounting Principles

3. Accounting Assumptions Accounting assumptions  can be defined as a set of rules that ensures the business operations of an organization and are conducted efficiently and as per the standards defined by the FASB (Financial  Accounting  Standards Board) which ultimately helps in laying the groundwork for consistent, reliable and valuable 

4. Money unit

5. Economic Entity

6. Going Concern Concept

7. Time Period

8. Accounting Concepts Accounting concept  refers to the basic assumptions and rules and principles which work as the basis of recording of business transactions and preparing  accounts . This  concept  assumes that, for  accounting  purposes, the business enterprise and its owners are two separate independent entities.

9. Revenue Recognition

10. Matching Principle

11. Full disclosure

12. Historical Cost

13. Accounting Constraints In the field of  accounting , when reporting the financial statements of a company,  accounting constraints  (also known as the  constraints  of  accounting ) are boundaries, limitations, or guidelines. These  constraints  may allow for variations to the  accounting  standards an accountant is trying to follow.

14. Materiality

15. Conservatism

16. Consistency

17. Cost Benefit

18. Objectivity

19. THANK YOU