McDonalds, Application of Accounting Concepts

January 2017 | 6 pages | ID: M925A7F5D06EN
Sadia Saeed

Abstracts

It is the accounting concept in that the transactions can be computed in the monetary types and can locate in the monetary statement like the abilities of the employees cannot be recorded in financial statements and their compensation and wages can be recorded. The advantage of this concept is that it elaborates the money worth and disclosure in financial statements but the limitation is that it fails to include the worth of intangible assets as goodwill (Accounting simplified, 2014). Cont... (1500 words of this report)

Contents

Money Measurement Concept
Entity Concept
Going Concern Concept
Cost Principle
Dual Aspect Principle
Accounting Period
Conservatism in Accounting
Realization Principle
Matching Principle
Consistency in Accounting
Materiality Concept
References