The Complete Accounting Principles in one Hour!

What are the Accounting Principles?

Accounting principles are the rules and guidelines that companies and other agencies must abide by when reposting their financial data and results. These principles and rules make it a bit easier to standardize financial data by setting the standards and rules that Accountants must use.

The main purpose of Accounting principles is to establish the framework for how financial Accounting is recorded and reported on financial statements to be reliable for decision makers.

It’s important to have a basic understanding of these main Accounting principles as you learn Accounting.

Generally accepted Accounting principles are important because they set the rules for financial reporting and bookkeeping as well. These rules or guides are often called the GAAPs framework and they maintain consistency in financial reporting from company to company across all industries.

And here are some of the topics that you will learn along the course:

The Accrual principle

The Conservatism principle

The Consistency principle

The historic cost principle

The full disclosure principle

The going concern principle

The matching principle

The monetary unit principle

The reliability principle

The revenue recognition principle

The time period principle

Creative Accounting

Corporate Social Responsibility CSR

Forensic Accounting Knowledge

The Sarbanes Oxley Act of 2002

Consequences of violation of The Accounting principles – Enron scandal case

Consequences of violation of The Accounting principles – WorldCom case