Expenses Flashcards
1
Q
expenses
A
- decrease in economic benefits during the accounting period
- need to be incurred in revenue generating activities
2
Q
arise due to:
A
ordinary activities, outflow or depletion of assets, include losses
3
Q
Relate revenue to income, 3 methods
A
- associating cause and effect
- systematic and rational allocation
- immediate recognition
4
Q
share based payments
A
AASB 2-provision of equity instruments to employees in lieu of cash salary
- used to align employee interest with those of share holders
