CIMA考试辅导：会计目标

The purpose of accounting is to provide information that can be useful for economic decision-making. For this purpose， we should have certain accounting principles that provide guidelines and a common ground to practice accounting and to communicate accounting information effectively. The most important principles are as follows： -Accrual -Historical cost -Realization -Matching -Conservation -Objectivity -Full-Disclosure -Consistency -Materiality The Accrual Principle The accrual principle holds that profit (or loss) is the difference between revenues and expensed for a period. It is not the difference between the cash receipts and cash payment for the same period. This principle complements the realization and the matching principles. According to it， the process of determining profit (or loss) is based on the accrual basis that is quite different from the cash basis.The accrual basis recognizes the impact of transactions on the financial statements in time periods when revenues and expenses occur. That is， revenues are recorded as they are earned and expenses are recorded as they are incurred. In contrast， the cash basis recognizes the impact of transactions on the financial statements only when cash is received of disbursed.