Question Description Show
Solutions for The proprietor of a business is treated as a creditor for capital introduced by him, according to:-a)Money Measurement Conceptb)Cost Conceptc)Entity Conceptd)Dual Aspect Concept.Correct answer is option 'C'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA Foundation. Download more important topics, notes, lectures and mock test series for CA Foundation Exam by signing up for free. Here you can find the meaning of The proprietor of a business is treated as a creditor for capital introduced by him, according to:-a)Money Measurement Conceptb)Cost Conceptc)Entity Conceptd)Dual Aspect Concept.Correct answer is option 'C'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of The proprietor of a business is treated as a creditor for capital introduced by him, according to:-a)Money Measurement Conceptb)Cost Conceptc)Entity Conceptd)Dual Aspect Concept.Correct answer is option 'C'. Can you explain this answer?, a detailed solution for The proprietor of a business is treated as a creditor for capital introduced by him, according to:-a)Money Measurement Conceptb)Cost Conceptc)Entity Conceptd)Dual Aspect Concept.Correct answer is option 'C'. Can you explain this answer? has been provided alongside types of The proprietor of a business is treated as a creditor for capital introduced by him, according to:-a)Money Measurement Conceptb)Cost Conceptc)Entity Conceptd)Dual Aspect Concept.Correct answer is option 'C'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice The proprietor of a business is treated as a creditor for capital introduced by him, according to:-a)Money Measurement Conceptb)Cost Conceptc)Entity Conceptd)Dual Aspect Concept.Correct answer is option 'C'. Can you explain this answer? tests, examples and also practice CA Foundation tests. MohammedGuys, does anyone know the answer? get the proprietor of the business is treated as creditor for the capital introduced by him due to from screen. Click here👆to get an answer to your question ✍️ The proprietor of a business is treated as a creditor for capital introduced by him according to .  Question The proprietor of a business is treated as a creditor for capital introduced by him according to __________.A Money Measurement ConceptB Cost ConceptC Business Entity ConceptD Dual Aspect ConceptMedium Open in App स्रोत : www.toppr.com [Solved] According to the _________concept, the proprietor is trA proprietor is an individual who owns a business establishment or sole proprietorship. This person has legal use of the assets and their operations. Concept o Home Accountancy Basics of Accounting QuestionDownload Solution PDF According to the _________concept, the proprietor is treated as a creditor to the extent of his capital.This question was previously asked in AWES PGT 2012 - Commerce Official Paper Download PDF Attempt Online View all AWES Army Public School Papers > Cost Entity Money measurement Dual aspect Answer (Detailed Solution Below)Option 2 : Entity Detailed SolutionDownload Solution PDF A proprietor is an individual who owns a business establishment or sole proprietorship. This person has legal use of the assets and their operations. Concept of Business Entity: The concept of business entity assumes that business has a distinct and separate entity from its owners. It means that for the purposes of accounting, the business and its owners are to be treated as two separate entities. Keeping this in view, when a person brings in some money as capital into his business, in accounting records, it is treated as a liability of the business to the owner. Here, one separate entity (owner) is assumed to be giving money to another distinct entity (business unit). Similarly, when the owner withdraws any money from the business for his personal expenses (drawings), it is treated as a reduction of the owner’s capital and consequently a reduction in the liabilities of the business. Hence, according to the Entity concept, the proprietor is treated as a creditor to the extent of his capital. 1. Cost concept: The cost concept of accounting states that all acquisition of items (such as assets or things needed for expending) should be recorded and retained in books at cost. Thus, if a balance sheet shows an asset at a certain value it should be assumed that this is its cost unless it is categorically stated otherwise. 2. Money measurement concept: The money measurement concept (also called monetary measurement concept) underlines the fact that in accounting and economics generally, every recorded event or transaction is measured in terms of money, the local currency monetary unit of measure. 3. Dual aspect concept: According to the Dual Aspect Concept, each business transaction has a dual or a two-way effect. This implies that a particular business transaction involves a minimum of two accounts when recorded in the books of accounts. This principle is the foundation of the Double Entry System of accounting. Download Solution PDF Share on Whatsapp Get proficient with the Accountancy concepts with detailed lessons on the topic Basics of Accounting among many others. India’s #1 Learning Platform Start Complete Exam Preparation Daily Live MasterClasses Practice Question Bank Mock Tests & Quizzes Get Started for Free Download App Trusted by 2,64,67,351+ Students ‹‹ Previous Ques Next Ques ›› More Basics of Accounting QuestionsQ1. Discount allowed for prompt payment is called a ______.Q2. The goods worth Rs. 16,000 were lost in fire by M/s Jyoti Limited; however the Insurance claim of Rs. 10,000 was received from the insurance company. Which out of the following is the correct treatment?Q3. The basic accounting equation is ______Q4. Which of the following expenses debited to Profit and Loss a/c but disallowed while computing income from Business? (A) General Expenses (B) Personal Expenses (C) Expenses of Income which is taxable under the other heads of income (D) Charities and donations Choose the correct answer from the options given below:Q5. A company purchased a machinery on 01-01-2015 for a sum of Rs. 60,000. The retail price index on that date was 150. What is the value of machinery according to CPP method on 31st December 2015, When the price index was 200.Q6. Assertion (A) : Personal transactions of the owners of the business are not recorded in the books. Reasoning (R) : According to the business entity concept, each business enterprise is considered as an accounting unit separate from owners.Q7. Life insurance premiums received by an insurance company should be classified asQ8. Under the companies act, 1956, a person can be a director inQ9. When FIFO method is in use, the closing inventory is valued atQ10. An entry of Rs. 840 being debited to Surbhi ’s A/c as Rs. 480 would be an error of स्रोत : testbook.com The proprietor of a business is treated as a creditor for capital introduced by him, according to:According to business entity concept; A company is distinguished from its proprietors/owners.As a proprietor invest money into company,its is the responsibility of business (company) to return interest to him in the form of profitsHence proprietor will be considered as creditor according to entity concept CA Foundation Question The proprietor of a business is treated as a creditor for capital introduced by him, according to:- a) Money Measurement Concept b) Cost Concept c) Entity Concept d) Dual Aspect Concept. Correct answer is option 'C'. Can you explain this answer? Related TestTest: Accounting Concepts, Principles And Conventions - 4 AnswersBugude Santhoshini Jul 16, 2021 According to business entity concept; A company is distinguished from its proprietors/owners. As a proprietor invest money into company,its is the responsibility of business (company) to return interest to him in the form of profits Hence proprietor will be considered as creditor according to entity concept Upvote | 2 Reply Answer this doubt स्रोत : edurev.in In which concept the proprietor of the business is treated as the creditor of business?BUSINESS ENTITY CONCEPT: According to this concept, every business is treated as a separate entity, separate and distinct from its owner. The owner of the business is the person who contributes capital in the business. The owner of the business is considered as the creditor of the business to the extent of his capital.
In which concept business is treated separate from the proprietor?The business entity concept states that the business is separate from the owner(s) of the business. Therefore the accounting records for even the simplest business, the sole trader, must be kept separate from the personal affairs of the owner or owners.
Which of the following is treated as creditors of the company?Under the business entity concept, shareholders are treated as creditors for the amount they paid on the shares they subscribed for, even though they are the owners of the business. Business entity is an accounting concept which suggests that, business has a separate legal identity from its owner.
Under which accounting concept is the owner treated as?What is Business Entity Concept. Business entity concept is one of the accounting concepts that states that business and the owner are two separate entities and therefore, should be considered separate from each other.
|
According to which concept proprietor of the business is treated as a creditor of the business
zusammenhängende Posts
Urheberrechte © © 2024 defrojeostern Inc.
