Others

• are rules and procedures that were developed based on customs, usage, business practice, corporate experience, government intervention, laws and opinions of accountants and other professionals.

  Accounting Principles
• are the basic notions or fundamental premises on which certain accounting processes or procedures are based.

  Accounting Assumptions
• assumes that a business is separate and distinct from the owner. It requires that activities of the entity be kept separate and distinct from the activities of its owner an all other entities. 

  Business Entity Concept
• Property or asset acquired through purchase must be recorded at purchase cost or historical cost, sometimes referred to as acquisition cost.

  Cost Principle
• based on this principle, it is expected that the business is a continuing concern or the normal operation of the business will continue indefinitely. 

  Going Concern Principle
• requires that financial data entered in the records must be verifiable and substantiated by documents such as invoice, voucher, and official receipt. 

  Objectivity Principle
• All business transactions are measured and recorded using money value, used as a medium of exchange and the most practical way of measuring financial data is the Philippine peso.

  Monetary Unit Assumption
• determines the financial standing of the business.

  Balance Sheet