Difference between revisions of "The accounting concept of profit"

From knowledgebase
Jump to navigation Jump to search
(Created page with "The accounting concept of profit is: * Accrual based * Hindsight oriented * One period * Only interest taken into account (not full cost of capital). ** The cost of capital is...")
 
 
(One intermediate revision by the same user not shown)
(No difference)

Latest revision as of 19:26, 27 August 2020

The accounting concept of profit is:

  • Accrual based
  • Hindsight oriented
  • One period
  • Only interest taken into account (not full cost of capital).
    • The cost of capital is severely underestimated in the accounting concept of profit
  • Reporting to the outside world