Accounting Assumptions and Characteristics

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Across
  1. 3. present obligation owed due to previous events
  2. 5. users can understand and identify similarities and differences in information across a period of time
  3. 7. resource that will be able to produce future economic benefit
  4. 10. business will continue to operate in the future
  5. 12. financial information has to make sense to users with reasonable business knowledge
  6. 14. decrease in owners equity that relates to business operations
  7. 15. owners interest or investment in the business
Down
  1. 1. information reported must be truthful to real world economic event
  2. 2. information represents honestly what it says it represents. Financial information is supported by evidence
  3. 4. records of business must be kept separate to the owner of the business
  4. 6. increase in owners equity that comes from business operations
  5. 8. information must be available to decision makers in time to influence decisions
  6. 9. revenue is recognised when it is earned and expenses are recognised when they are incurred
  7. 11. information is related to economic decisions to help users
  8. 13. reports are prepared for a set time period