This document discusses accounting principles, which are the general rules and guidelines that govern the field of accounting. It notes that accounting principles are flexible, made by humans, have wider expectations for implementation, and are based on actual facts. The principles provide stability, control over accountants, and knowledge of actual situations. They act as a guide and provide regular information, but are not compulsory. Limitations include the absence of a complete set of principles, lack of general acceptability, differences in application, uncertain estimates, limited scope, and effects of economic and social factors.

1. Accounting
Principles
Dr. Pushpa Suryavanshi

2. Accounting Principles:-
Accounting Principles
“These are the general rules an
guidelines that govern the field of
accounting.”

3. Nature of Accounting
Principles:-
Flexible
Made by human beings
Accounting Principles effected to the
others
Wider Expectance for implementation
Based of actual facts
Universal

4. Significance of
Accounting Principles
•Stability in Accounting
•Control on Accountants
•Knowledge of actual
situations

5. Significance of
Accounting Principles
•Act as a guide
•Regular information of
progress
•Important but not
compulsory

6. Limitations of Accounting
Principles
•Absence of complete set of
principles
•Lack of general acceptability
on accounting

7. Limitations of Accounting
Principles
•Difference in the application
of principles
•Uncertain estimates
•Based on monetary
transactions

8. Limitation of Accounting
Principles
•Limited scope
•Effect of economic,
Political and social factors
etc.