Question

According to the Money Measurement concept, the following will be recorded in the books of Accounts __________________.

• A. Quality control in business
• B. Commission payable to salesman
• C. Extra profits made due to introduction of a budgetary control system
• D. All of the above

Answer 1

The correct option is B Commission payable to salesman

According to money measurement concept, commission payable to a salesman is to be recorded in the books of accounts. It states that only those transactions should be recorded in the books of accounts that are capable of being measured in monetary terms.