The out flow of funds to acquire an asset that will benefit the business for more than one accounting period is referred to as —

Related MCQs

• The out flow of funds to acquire an asset that will benefit the business for more than one accounting period is referred to as:
• When stock is valued at cost in one accounting period and at lower of cost and Net realizable value in another accounting period
• P & L Account is prepared for a period of one year by following [Hints: (c) P&L A/C is prepared for a period of one year by following the concept of Accounting Period.]
• Which of the following is true statement for computerised accounting system? a. the computer accounting system is based on the concept of database. b. Computer accounting system does not away with the concept of creating and maintaining journals, ledger etc.
• Accounting procedures and accounting practices should remain same from year to year under which of the following accounting principles:
• Which of the following statements is true with regard to written down value method of depreciation? i. The rate at which the asset is written off reduces year after year ii. The amount of depreciation provided reduces from year to year iii. The rate of depreciation as well as the amount of depreciation reduce year after year iv. The value of the asset gets reduced to zero over a period of time
• Asset acquired for long period of time in the business is known as ___________
• _______________ is prepared at the end of the accounting period to show the financial position o f business
• When benefit of a revenue expense extend beyond an accounting year, it is called
• The concept that business is assumed to exist for an indefinite period and is not established with the objective of closing down is referred to as