AE 14 CONCEPTUAL FRAMEWORK & ACCTG STANDARDS

1. concept - refers to the basic assumptions and rules and principles which work as the basis of
recording of business transactions and preparing accounts.

2. framework - is a published set of criteria that is used to measure, recognize, present, and disclose
the information appearing in an entity's financial statements.

3. standard - is a set of practices and policies used to systematize bookkeeping and other accounting
functions across firms and over time.

4. transparency - is the access and proper disclosure of financial information, such as a company's
audited financial reports.

5. accountability - requires corporate accountants to be careful and knowledgeable, as they can be

held legally liable for negligence.

6. efficiency - measures the level of performance achieved against a standard. A high level of efficiency
generates the highest possible amount of outputs with the smallest amount of inputs.

7. reporting - is the process of documenting and communicating financial activities and performance
over specific time periods, typically on a quarterly or yearly basis.

8. quality - making sure that products are made to a minimum standard or better.

9. resources - a source of supply, support, or aid, especially one that can be readily drawn upon when
needed. resources, the collective wealth of a country or its means of producing wealth.

10. stewardship - is taking care of something like a large household, the arrangements for a group or
the resources of a community.

11. accounting - is the process of recording financial transactions pertaining to a business.

12. financial -

13. statement - is something that you say or write which gives information in a formal or definite way.

14. useful -

15. entity