CFO Question: Download Questions PDF
Explain me Cash System of Accounting?
Cash System of Accounting: This system records only cash receipts and payments. This system assumes that there are no credit transactions. In this system of accounting, expenses are considered only when they are paid and incomes are considered when they are actually received. This system is used by the organizations which are established for non profit purpose. But this system is considered to be defective in nature as it does not show the actual profits earned and the current state of affairs of the organization.
Download Chief Financial Officer Interview Questions And Answers PDF
|Previous Question||Next Question|
|Do you know why do we have so many reports?||Explain the difference between share capital & reserves and surpluses?|