Question No 3: (5+5=10 Marks) (Objectives of this case study) To understand the application of accounting principles in recording of financial transactions To analyze the treatment of adjustment entries in the preparation of final accounts Case 1. The image given below shows one of the basic principles of accounting. Identify the concept related and answer the following questions in your own words. PRUDENCE PROVISION CAUTION CONSERVATISM Play it safe Answer the following Questions (1mark each) a. Explain the above accounting convention in your own words. b. Discuss any three examples to explain the accounting convention. c. What is the basic objectives of this accounting convention? d. How this convention affects inventory valuation? e. How this accounting convention affects the value of assets in balance sheet