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Syntax of Accounting Procedure
The general accounting practices are:
(a) Do not consider any income or gain till the similar is realised in cash;
(b) Create or make provision for future expected losses & contingencies on the basis of past performance.
The accounting procedure has its own syntax (Rules on that accounting entries are made in books of accounts) that is generally known as Double Entry Book Keeping System. The primary system on that the accounting procedure is based is known as Generally Accepted Accounting Principles (GAAP) and Accounting Standards.
The primary steps used in measurement of accounting information are explained in the traditional definition of accounting through the AICPA that defines accounting as "the art of recording classifying and summarizing in important manner and in terms of money, transactions events that are, in part at least of a financial character and interpreting the results thereof".
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