Archive | Accounting

Types of Budget in Accounting

Everything you need to know about the types of budgets. Budget is a financial statement that provides detailed information about the revenue and expenditure of a particular year. However, there is no single rule or pro forma available to prepare budget, as in case of balance sheet and profit and loss account. You should note that different organizations follow different [...]

By |2021-06-02T22:41:15+05:30July 29, 2019|Accounting|Comments Off on Types of Budget in Accounting

4 Main Concepts of Accounting Theory

The following points highlight the four main concepts of accounting theory. The concepts are: 1. The Concept of Transaction 2. Accounting Period Concept 3. Realisation Concept 4. Concept of Full Disclosure. 1. The Concept of Transaction: The major concept in accounting theory that appears in the same logical sequence is the concept of transaction. In its simplest form, transaction can [...]

By |2021-06-02T22:40:48+05:30August 18, 2016|Accounting|Comments Off on 4 Main Concepts of Accounting Theory

Ratios: Classification and Computation

In this article we will discuss about the classification and computation of ratios. Classification of Ratios: Ratios may be classified from various stand points and they are: (A) Classification by Statements: This classification is based on those statements from which information’s are obtained for calculating ratios since accounting information’s are obtained mostly from two statements i.e. Balance Sheet and Profit [...]

By |2021-06-02T22:40:58+05:30August 18, 2016|Accounting|Comments Off on Ratios: Classification and Computation
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