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Gagan Mishra

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English
1 year ago

20. Explain Convention Of Conservation?

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Abhishek Mishra

1 year ago

In accounting, the convention of conservatism, also known as the doctrine of prudence, is a policy of anticipating possible future losses but not future gains. This policy tends to understate rather than overstate net assets and net income, and therefore lead companies to "play safe".

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