Start learning →

Which basis recognises transactions only when cash changes hands?

AAccrual basis of accounting
BCash basis of accounting
CMatching basis of accounting
DGoing concern basis of accounting
Answer & Solution
Correct answer: B. Cash basis of accounting
Cash basis records an item only when cash is received or paid, in contrast to accrual accounting.
Practise this question with Quill — CA Final →

Keep practising Conceptual Framework for Financial Reporting

Browse all Conceptual Framework for Financial Reporting questions for CA Final, or explore more Financialreporting topics.

Start a Conceptual Framework for Financial Reporting lesson →
Related questions
Ind AS 107 deals with disclosures relating to which subject?Once a company adopts Ind AS, voluntarily or mandatorily:Which body recommends Ind AS to the Ministry of Corporate Affairs?Equity rose from Rs 10,00,000 to 11,50,000; owners added 60,000, dividends 20,000. ComprehConsolidated statements show parent and subsidiaries as:A cash flow statement reports activities under which three heads?Which statement is a snapshot at one date?Foreseeable future for going concern is usually: