Q358
Profit & Loss account is prepared for a period of one year by following
A.
Periodicity concept
AnswerB.
Business entity concept
C.
Accrual concept
D.
None of the above
Answer: Option A
Solution
Answer: Option A
Solution:
Profit & Loss account is prepared for a period of one year by following Periodicity concept. It is the concept that each accounting period has an economic activity associated with it, and that the activity can be measured, accounted for, and reported upon.