Accrual concept stipulates that?

Assessment: JAMB UTME - Principles of Accounts - 1999 Subject: Financial Accounting

Question 1 Report

Accrual concept stipulates that?
Answer Details
The accrual concept in accounting stipulates that revenue should be recognized when it is earned, regardless of when payment is received, and costs should be recognized when they are incurred, regardless of when payment is made. This means that revenue and expenses should be recorded in the period in which they occur, not when cash is received or paid. The accrual concept ensures that financial statements reflect the actual performance of the company during a specific period and helps to provide a more accurate picture of the company's financial position.
Read lesson note on Accounting Concepts (WAEC)
View Answer

Related Questions

1

The basic role of accounting is to?
2

Use the information to answer the question Aminu and Sons credit purchases (Extract] as at February 1996. Feb 1Credit balances 40, 000 Debit balances 1, 000 ...
3

Use information below to answer this question.Capital: opening balance 307,000 Closing balance 342,000 Net profit for the period 121,600 Opening stock 98,800...
4

Use the information to answer the question Aminu and Sons credit purchases (Extract] as at February 1996. Feb 1Credit balances 40, 000 Debit balances 1, 000 ...
5

Use information below to answer this question. Capital: opening balance 307,000 Closing balance 342,000 Net profit for the period 121,600 Opening stock 98,80...
6

Given:Total cash received from debtors 30,000 Total purchases for the period 21,000 Amount owed by debtors at the beginning of the period 4,000 Equipment bou...
7

Appropriation Account Kudu Wale Interest on capital 750 550 Salaries 800 600 Share of profits 3,300 3,300 Determine the net profit of the partnership.
8

Use the information to answer the question that follows: Aminu and Sons credit purchases (Extract] as at February 1996. Feb 1 Credit balances: ₦40,000 Debit ...

Download The App On Google Playstore

Everything you need to excel in your exams

Green Bridge CBT Mobile App
Personalized AI Learning Chat Assistant
200,000+ Exam Questions Across IGCSE, JAMB, WAEC & NECO
Over 3,900 Lesson Notes
Offline Support - Learn Anytime, Anywhere
Green Bridge Timetable
Literature Summaries & Potential Questions
Track Your Performance & Progress
In-depth Explanations for Comprehensive Learning