Few accounting concept: Business entity concept, Money measurement concept, Cost concept, Continuity concept, Materiality concept

Few important accounting concepts are discussed briefly these are business entity concept, money measurement concept,, cost concept, continuity concept, materiality concept, etc. Business entity concepts separate business owner from enterprise in accounting record. The personal bank balance of business owner is not included in enterprises accounting record. Money measurement concept explains every thing as it's monetary value. In accounting and financial statement everything is recorded as money value. Continuity concept of accounting indicates the continuity of the organization. It is also called the going concern concept of accounting. This accounting concept assures that company is not about to liquidate. In cost concept of accounting the assets are recorded as cost incurred. Assets are recorded as the purchasing price. In materiality concept of accounting material that is insignificanse in terms of monetary value in a given period of time considered as expanse.