Discussion
The main objective of Accounting Standards is
Answer: C
The main objective of accounting standards is to harmonise the diversified accounting practices. Before standards existed, firms could choose among many policies for similar transactions, which made statements of different companies hard to compare. Standards narrow these alternatives and bring uniformity.
Making reports easy for the common person to understand is a by-product, not the main aim. Complying with legal formalities is a function of the Companies Act, and matching the International Accounting Standards is a matter of convergence policy, not the basic purpose of a standard.
No comment is present. Be the first to comment.
Loading…
Post your comment
Please log in or register to post a comment.
Examination Categories
- SSC Exams
- Banking Exams
- Teaching Exams
- Civil Services Exams
- Railways Exams
- Engineering Recruitment Exams
- Defence Exams
- State Government Exams
- Police Exams
- Insurance Exams
- Nursing Exams
- Other Government Exams
- NRA CET
- PG Entrance Exams
- Campus Placement
- MBA Entrance Exams
- CUET and UG Entrance
- Judiciary Exams
- Regulatory Body Exams
- Software Development