Historical cost principle in accounting

Historical cost principle: According to this principle an asset of a business must be recorded in the accounting records at the price paid to acquire them at the time of its acquisition, i.e. original cost.

5 thoughts on “Historical cost principle in accounting”

  1. Pingback: What is meant by sunk cost? – ACCOUNTING CLASS

Leave a Comment

Your email address will not be published. Required fields are marked *

%d bloggers like this: