Beyond Academy

Accounting Standard 1 Disclose of Accounting Policies.  Q. What is accounting policies?  Ans. Accounting policies refers to specific accounting principles and the method of applying those principles adopted by the enterprise in preparation and presentation of financial statement. At the time of preparation of financial statement (Balance Sheet and P/L A/C) there are many areas which has more than 1 method of accounting treatment.  Q. What are notes to account?  Notes to account are explanation of management about the items in financial statement. The management gives more explanation and information about the item of P/L A/C and B/S. What are the need for disclosure of accounting policies?  Ans. For proper and better understanding of financial statement it is required that all significant accounting policies follow in preparation of financial statement should be disclosed because assets and liabilities in the B/S and P/L A/C are significantly...