In modern conditions in the accounting entity uses accounting principles that are applied in international practice.All these principles are used to solve practical problems of the modern economy.They can be divided into two groups.
The first group is the basic accounting principles, which require certain conditions and do not change.They are called assumptions:
- principle of property isolation.
The enterprise is considered only own property, which is separate from property owned by employees of the organization and other businesses.
- Going concern.
says that the company will continue its activities, which is important for lenders who can be quiet for the settlement of liabilities in the future.Since the company does not intend to reduce or eliminate their own activities.
- Content takes precedence over form.Very important information about the business transaction from an economic point of view.
- consistency.
Remains of synthetic and analytical accounts on the first day of the month are identical.
second group is the basic accounting principles, which are called requirements:
- principle of completeness, objectivity
When all business transactions will be reflected in the accounting records at all stages and confirmed by primary documents.
- principle of prudence.
At which pay more attention to expenses, losses and liabilities, income and assets than, do not allow for payments to inflate assets and income, understate the costs and obligations and do not allow the creation of hidden reserves.
- Consistency.
This applies consistent accounting policy of the company from one reporting period to another, which makes it possible to obtain comparable reports.
Sometimes accounting principles clearly show that it is always necessary to be flexible and take into account the data provided by the accounting department.For example, the principle of timeliness of information, increases its reliability and validity in the delays, but makes it easy irrelevant in this case.At the conclusion of contracts and agreements important to promptly alleged data and calculations of profit than providing all accounting data held in the period, but with a big delay.
- accrual.
When the business operation related to the accounting period in which it occurred, regardless of the payment or receipt of money for this operation.For example, revenue is recognized in the period when the goods arrived, not when payment is made.Taken into account is the principle of conformity, in which revenues are related to expenses in the period in which they are received on the basis of these costs.But the income and expenses of different periods are accounted for separately.
- principle of double-entry
All business transactions are recorded in the accounting records on the basis of double-entry, that is, the debit and credit accounts are recorded the same amount.
- principle of periodicity.
Provides drawing up the balance sheet and the financial result for the reporting period: month, quarter, year.
Almost all organizations in the country are used in their daily practice, regardless of their activity following accounting principles:
- principle of monetary measure, the unit of measurement when taking the currency of their country.
- principle of confidentiality under which the disclosure of a trade secret organizations provided financial and criminal penalties.
- principles of clarity and relevance should help users in their work when making decisions.
- principle of truthfulness and impartiality give a real picture of the financial position of the organization.
All these principles of accounting organization, both physical and legal persons contribute a profit and does not contradict the legislation of the country.
