8.13

(i) Dual aspect;

(ii) consistency;

(iii) prudence;

(iv) matching/accruals; and

(v) going concern.

(a) Briefly explain each of the concepts mentioned above. (10 marks)

(b) Explain how each of the concepts will affect the preparation of the final accounts of a company. (10 marks)

(Total: 20 marks)

(ICSA, Introduction to Accounting, December 1993)