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Commerce · Q231

Accounting

Graduate and Post Graduate · Commerce · question 231

Q231

Commercial accounting is based on

A.
Single entry book keeping
B.
Double entry book keeping
Answer
C.
Both single and double entry book keeping
D.
Cash basis of book keeping

Answer: Option B

Solution

Answer: Option B
Solution:
Commercial accounting is based on Double entry book keeping. Commercial accounting is something about providing right informatin to right people on right time. In commercial accounting, the system is maintained by the business organizations. The main objective of commercial accounting is to know the profit or loss and the financial position of any business.