Trend analysis is a comparative analysis often employed to identify an investment or group’s current arid future movements. The process may involve comparing past and current financial ratios related to various institutions to project how long the current trend will continue. This type of information is beneficial to investors who wish to make the most…
The GAAP is a group of accounting standards that are widely accepted as appropriate to the field of accounting. Accounting standards are necessary so that financial statements are meaningful across a wide variety of businesses. An accounting standard is a guideline for financial accounting. The GAAP is comprised of a large group of individual accounting…
4 accounting assumptions are; (1) business entity assumption, (2) money measurement assumption, (3) going concern assumption and (4) accounting period assumption.