Accounting Policy (Grade 10 NSC Matric Accounting): Flashcards
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Accounting policy definition
Accounting policy definition
Set of decisions for managing similar transactions consistently
Main purpose of accounting policies
Main purpose of accounting policies
Consistency in recording and reporting transactions
Why publicise accounting policies?
Why publicise accounting policies?
Help users understand how transactions were treated/calculated
3 examples of policies to disclose
3 examples of policies to disclose
Depreciation methods, inventory valuation, revenue recognition
GAAP stands for
GAAP stands for
Generally Accepted Accounting Practice
Purpose of GAAP
Purpose of GAAP
Standardised framework ensuring comparable financial information
Role of Accounting Standards Board in SA
Role of Accounting Standards Board in SA
Develops GAAP by setting accounting standards
Year SA adopted IFRS
Year SA adopted IFRS
1994
SAICA full name
SAICA full name
South African Institute of Chartered Accountants
Nature of accounting standards over time
Nature of accounting standards over time
Change constantly to keep up with business world changes