Convention of Materiality

Convention of Materiality only those transactions, important information and items are shown which are valuable and material for the business. Materiality defines the threshold point after which financial information becomes applicable for the decision making needs of the users.

Accounting Conventions

Accounting Conventions Learning Objectives: What are accounting conventions? Explain important accounting conventions. The term “conventions” includes those customs or traditions which guide the accountants while preparing the accounting statements. The following are the important accounting conventions. Convention of Disclosure Convention of Materiality Convention of