Accounting Principles
Barron's Accounting Dictionary:
Top
Accounting Principles
Rules and guidelines of accounting. They determine such matters as the measurement of assets, the timing of revenue recognition, and the accrual of expenses. The "ground rules" for financial reporting are referred to as generally accepted accounting principles (gaap). To be "generally accepted," an accounting principle must have "substantial authoritative support" such as by promulgation of a FINANCIAL ACCOUNTING STANDARDS BOARD (FASB) pronouncement.
Accounting principles are based on the important objectives of financial reporting. An example of an accounting principle is accrual.
Accounting principles are based on the important objectives of financial reporting. An example of an accounting principle is accrual.
| Accounting Practice, Accounting Postulate, Accounting Policies | |
| Accounting Principles Board (APB), Accounting Procedure, Accounting Profits |
Investopedia Financial Dictionary:
Top
Accounting Principles
The rules and guidelines that companies must follow when reporting financial data. The common set of accounting principles is the generally accepted accounting principles (GAAP). To remain listed on many major stock exchanges in the U.S., companies must file regular financial statements reported according to GAAP. Accounting principles differ around the world, and countries usually have their own, slightly different, versions of GAAP.
Investopedia Says:
Since accounting principles differ across the world, investors should be aware of these differences and account for them when comparing companies in different countries. The problem of differences in accounting principles does not much affect mature markets. Still, investors should be careful, since there is still leeway for the distortion of numbers under many sets of accounting principles.
Related Links:
Find out how and why these rules can help companies "come clean" in post-Enron Wall Street. Lady Godiva Accounting Principles
FAS 142 is an accounting rule that changes the way companies treat goodwill. Be aware of the impact it has on reported earnings to avoid making bad investment decisions. Accounting Rules Could Roil The Markets
This metric is an attempt to counteract creative accounting, but it poses its own set of challenges. Core Earnings Strip Away "Creative" Accounting
If you are a younger multiple beneficiary, make sure you understand the RMD regulations. A Look At IRA Separate Accounting Rules
Find out how these two have grown hand-in-hand throughout our modern history. Financial History: The Rise Of Modern Accounting
Test your money management skills as you work your way through university. Budgeting While You're in College
How a company accounts for its expenses affects how its net income and cash flow numbers are reported. Accounting For Differences In Oil And Gas Accounting
More than just crunching numbers, this career blends detective work with trouble shooting. A Look At Accounting Careers
Learn how accounting evolved to keep records of increasingly complex transactions and civilizations. Ancient Accounting Systems
Post a question - any question - to the WikiAnswers community:
Copyrights:
Barron's Accounting Dictionary
Dictionary of Accounting Terms. Copyright © 2010 by Barron's Educational Series, Inc. All rights reserved.
Read more
Mentioned in
GAAP
(abbreviation)
Apb Opinion
(in accounting)
Financial Accounting Standards Board (FASB)
(business term)
Auditing Standards
(business term)
» More