Students can go through AP Inter 1st Year Accounts Notes 2nd Lesson Accounting Principles will help students in revising the entire concepts quickly.
Accounting Principles Class 11 Notes AP Inter 1st Year Accounts 2nd Lesson
→ The accounting principles are the general accounting procedures, practices which guide the accountant in preparation of accounting records.
→ Accounting principles can be broadly classified into accounting concepts and accounting conventions.
→ Accounting Concepts are the necessary assumptions, conditions or postulates upon which the accounting is based. They are developed to facilitate communication of the accounting and financial information to all the readers of the financial statements.
→ Some of the Accounting Concepts are : Business entity Concept, Cost Concept; Accounting Period Concept, Accrual Concept, Matching Concept and Realization Concept.
→ Accounting conventions are the customs or traditions guiding the preparation of accounts. They are adopted to make financial statement clear and meaningful.
→ Accounting conventions include, Convention of Disclosure, Convention of Materiality, Convention of Consistency and Convention of Conservatism.
→ Accounting standard is a principle that guides and standardises accounting practices. At present, there are 35 Indian Accounting Standards.