Fundamentals Of Accounting

Fundamentals of Accounting

There is no consensus of accounting experts on the fundamentals of financial accounting and the meanings associated with it. There is no consistency in Generally Accepted Accounting Principles (GAAP). The terms- conventions, concepts, axioms, generalizations, assumptions, methods, rules, postulates, standards doctrines, techniques, and canons are employed liberally and incompatibly in the same sense. Some of these fundamentals of accounting are;

(i) Assumptions

(ii) Axioms

(iii) Concepts

(iv) Conventions

(v) Postulates

(vi) Principles

Assumptions

Assumptions can be used interchangeably with the postulates. Accounting have ascertained group of assumptions. These assumptions are the essentials of financial accounting. Simultaneously, assumptions should be thought of as ...