Accounting Standards

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S.Siju Gemin (Querist)

17 February 2010 Considering me as a lay man, could any one in simple terms explain me what is Accounting standard and how far is it relevant for an accountant maintaining accounts in an organisation.

shrikant

shrikant (Expert)

17 February 2010 Dear friend

Accounting standard (AS) is the standard for how to do accounting for various transactions. Simply standard means how to do things practically like manufacturing standards that means how to manufacture a product.

As I explained that is important because you have to know how to feet any transaction in accounting system. How to recognise which a/c debited and which a/c credited.

Rahul

Rahul (Expert)

17 February 2010 For Ensuring uniformity with respect of accounting of different aspects of Financial Statements like Assets, Revenues, liabilities and Expenses, Certain standards are prescibed by ICAI.

CMA Ramesh Krishnan

CMA Ramesh Krishnan (Expert)

17 February 2010 Accounting standards are written documents,policy documents issued by ICAI covering the aspects of recogntion,measurment,treatment,presentation and disclousre of accounting transaction in the financial statement

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