Home › CBSE Class 11 (Commerce) › Accountancy › Theory Base of Accounting › Salaries, rent and insurance are recognised on w…
Salaries, rent and insurance are recognised on what basis?
AThe end of the year
BPeriod they relate to
CThe date of the invoice
DThe date of payment
Answer & Solution
Correct answer: B. Period they relate to
They are charged to the period they relate to, whether or not they have been paid.
Related questions
In accounting, what does the term 'convention' connote?What do Generally Accepted Accounting Principles aim to bring?Which existing tax was subsumed under CGST?Which GST component also covers imports of goods and services?Goods moved from Madhya Pradesh to Rajasthan attract which GST?Taxes collected under CGST form the revenue of whom?Who ultimately bears the burden of GST?GST is a tax based on which principle?