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Accounting conservatism is a branch of accounting that requires a high degree of verification before making a legal claim to any profit as it requires recognition of all probable losses as they are discovered and most expenditures as they are incurred. Revenue will be deferred until it is verified as strict revenue-recognition criteria is one of the most common forms of accounting conservatism.
it is the general concept of recognizing expenses and liabilities as soon as possible when there is uncertainty about the outcome, but to only recognize revenues and assets when they are assured of being received. ... The conservatism principle can also be applied to recognizing estimates.
in cases of Uncertainty, Conservatism principle recognizes loss as soon as it is probable to happen and can be estimated (even if it will happen in a later period), but only recognizes gain when it is actually gained or happened.
هل تحتاج لمساعدة في كتابة سيرة ذاتية تحتوي على الكلمات الدلالية التي يبحث عنها أصحاب العمل؟