Accounting Equa...

In stock variation, application of the principle 'at cost price or market price, whichever is lower' will result in the valuation of stock sometimes at cost price and at other times are market price. This is an application of the principle of _____________________.

Closing stock is valued at ______________.

Recording of capital contributed by the owner as liability ensures the adherence of principle of ______________.

According to money measurement concept, the following will be recorded in the books of account_________________.

According to going concern, a business is viewed having ______________.

Recognition of revenues does not occur until __________________.

Mr. A purchased a machinery costing Rs. $$1,00,000$$ on $$1^{st}$$ October, $$2005$$. Transportation and installation charges were incurred amounting Rs. $$10,000$$ and Rs. $$4,000$$ respectively. Dismantling charges of the old machine in place of which new machine was purchased amounted Rs. $$10,000$$. Market value of the machine was estimated at Rs. $$1,20,000$$ on $$31^{st}$$ March $$2006$$. While finalising the annual accounts, A values the machinery at Rs. $$1,20,000$$ in his books.
Which of the following concepts are violated by A?

It is given that the cost of stock is Rs. $$100$$. However, its market price is Rs. $$98$$ (buying) and Rs. $$140$$ (selling). If the market price is interpreted as the selling price, then the stock should be valued at _______________.

Valuing the stock in trade at market price or cost price, whichever is less, is an example of the convention of ___________.

The determination of expenses for an accounting period is based on the principle of _______________.