Accounting Postulate

Accounting Postulate
A fundamental assumption in the field of accounting. Like any field, the present system of accounting has certain underlying axioms which form the basis of the all further work. Accounting postulates are generally very well agreed upon and form the foundation of the discipline.

Accounting postulates include statements that economic activity conducted by certain identifiable entities will be continuous, that transactions occur at identifiable times and that the entity will continue as a going concern. None of these postulates are controversial, however they do highlight how difficulties can arise in advanced accounting practices.

For example, for certain transactions, there may be disagreement upon the timing for recording items of revenue and expense. In cases of mergers, there are certain issues with how to most accurately account for certain items. Guidelines must be developed for these advanced topics so that they fit within the accounting framework.


Investment dictionary. . 2012.

Игры ⚽ Нужно решить контрольную?

Look at other dictionaries:

  • mathematics — /math euh mat iks/, n. 1. (used with a sing. v.) the systematic treatment of magnitude, relationships between figures and forms, and relations between quantities expressed symbolically. 2. (used with a sing. or pl. v.) mathematical procedures,… …   Universalium

  • cosmos — /koz meuhs, mohs/, n., pl. cosmos, cosmoses for 2, 4. 1. the world or universe regarded as an orderly, harmonious system. 2. a complete, orderly, harmonious system. 3. order; harmony. 4. any composite plant of the genus Cosmos, of tropical… …   Universalium

  • History of mathematics — A proof from Euclid s Elements, widely considered the most influential textbook of all time.[1] …   Wikipedia

  • History of Physics —     History of Physics     † Catholic Encyclopedia ► History of Physics     The subject will be treated under the following heads: I. A Glance at Ancient Physics; II. Science and Early Christian Scholars; III. A Glance at Arabian Physics; IV.… …   Catholic encyclopedia

  • Law of value — The law of value is a concept in Karl Marx s critique of political economy. Most generally, it refers to a regulative principle of the economic exchange of the products of human work: the relative exchange values of those products in trade,… …   Wikipedia

  • Economy of the People's Republic of China — Economies of Special Administrative Regions of Hong Kong and Macau are administered separately from the rest of People s Republic of China. Therefore, the information below pertains only to mainland China unless specified otherwise. For the… …   Wikipedia

  • economic stabilizer — Any of the institutions and practices in an economy that serve to reduce fluctuations in the business cycle through offsetting effects on the amounts of income available for spending (disposable income). The progressive income tax, unemployment… …   Universalium

  • physics — /fiz iks/, n. (used with a sing. v.) the science that deals with matter, energy, motion, and force. [1580 90; see PHYSIC, ICS] * * * I Science that deals with the structure of matter and the interactions between the fundamental constituents of… …   Universalium

  • Clausius–Clapeyron relation — The Clausius–Clapeyron relation, named after Rudolf Clausius and Benoît Paul Émile Clapeyron, who defined it sometime after 1834, is a way of characterizing a discontinuous phase transition between two phases of matter. On a pressure–temperature… …   Wikipedia

  • Psychology (The separation of) from philosophy — The separation of psychology from philosophy Studies in the sciences of mind 1815–1879 Edward S.Reed THE IMPOSSIBLE SCIENCE Traditional metaphysics The consensus of European opinion during and immediately after the Napoleonic era was that… …   History of philosophy

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”