Companies Act or SEBI(Government) has laid down a format for making financial statements. Which concept covers this?

Matching

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Consistency

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

Money Measurement

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Business Entity

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is B
Consistency

Consistency concept covers the format laid down by Companies Act for making financial statements.

Suggest Corrections

Similar questions

Which concept covers the requirement to adhere to the format of Financial Statements?

The auditor noticed that the financial statements of Meta Company were missing some footnotes important for users for decision making. This action of the management is a violation of:

Q. Recently RBI sets global companies a deadline for storing financial data in India. In this context, explain the concept of data localization. Critically examine whether India’s push for data localization is a right step or not

Q. Financial statements are prepared following the consistent accounting concepts, principles, procedures and also the legal environment in which the business organisations operate. These statements are the sources of information on the basis of which conclusions are drawn about the profitability and financial position of a company so that their users can easily understand and use them in their economic decisions in a meaningful way.
From the above statement identify any two values that a company should observe while preparing its financial statements. Also, state under which major headings and sub-headings the following items will be presented in the Balance Sheet of a company as per Schedule III of the Companies Act, 2013.
(I) Capital Reserve
(ii) Calls-in-Advance
(iii) Loose Tools
(iv) Bank Overdraft

Q. If presentation of financial information/statement or accounting policy is designed with a pre-designed motive to influence the decision-making or judgement or achieve a pre-determined result or object, the financial statement are not said to have satisfied the criteria of ___________.

Join BYJU'S Learning Program

Companies Act or SEBI(Government) has laid down a format for making financial statements. Which concept covers this?

The correct option is B Consistency Consistency concept covers the format laid down by Companies Act for making financial statements.

The correct option is B
Consistency

Consistency concept covers the format laid down by Companies Act for making financial statements.