Comprehensive Assessment 1

Azman Tech Sdn Bhd did not record the goods damaged cause by the fire in the financial report even though it involved a significant amount. This violates the

Ali opened a sole proprietorship business of supplying hardware tools. He try to keep the accounting records up to date as he understand that business money and his personal money should be separately recorded. All business transactions are measured in Ringgit Malaysia (RM). The business closed its account as at 31 December every year. In preparing the financial statements, the business applied accounting standard consistently over the years. This is to ensure the business can compare its performance with its competitors. Based on this situation, identify the relevant accounting concepts applied in the above organisation.

The business entity concept assumes that the business will remain in existence for a foreseeable future.

To make the financial statement understandable, the information disclosed should be free from bias.

A business uses the owner's private house as an office and pays monthly rental fees. Which of the following accounting concept is being applied?