• Shuffle
    Toggle On
    Toggle Off
  • Alphabetize
    Toggle On
    Toggle Off
  • Front First
    Toggle On
    Toggle Off
  • Both Sides
    Toggle On
    Toggle Off
  • Read
    Toggle On
    Toggle Off
Reading...
Front

How to study your flashcards.

Right/Left arrow keys: Navigate between flashcards.right arrow keyleft arrow key

Up/Down arrow keys: Flip the card between the front and back.down keyup key

H key: Show hint (3rd side).h key

A key: Read text to speech.a key

image

Play button

image

Play button

image

Progress

1/9

Click to flip

9 Cards in this Set

  • Front
  • Back
Objective Evidence
Each transaction is described by a business document that provies the transaction did occur.
Historical cost
The actual amount paid or received is the amount recorded
Realization of Revenue
Revenue from business transactions is recorded at the time goods or services are sold.
Matchining expenses with Revenue
Revenue from business ativities and expenses associated with earning that revenue are recorded in the same accounting period.
Adequate Disclosure
Financial statements should contain all information encessary for a reader to understand the financial condition of a business.
Materiality
States that strict adherence to any accounting principle is not required when it is relatively difficult to do and the lack of adherence does not materially affect the reporting of net income.
Conservation
Holds that accountants should be conservative in their estimates and opinions and in the selection of procedures, choosing those that neither unduley understand nor overstate the situation.
Consistency
Requires a constant application by a company of any selected accountng method of procedures, accounting period after accounting period.
Business Entity
The financial information of a business is recorded and reported separately from the owner or owner's personal financial affairs.