会计专业毕业论文英文译文.doc

The Conventions of Contemporary Accounting Accounting conventions are concepts and rules which have been accepted in performing bookkeeping and accounting. It came from a careful observation of accounting practice which revealed patterns of consistent behavior. The existence of conventions was not generally recognized by accountants until the 20th century. They were developed to aid accountants in exercising judgment and estimation in order to limit likely differences in recording similar events by different accountants. The principal convention of contemporary accounting will be discussed. THE ENTITY CONVENTION Contemporary accounting divides the community into separate units called “accounting entities”. For each accounting entity a self-contained, double-entry accounting system is employed. Transactions between accounting entities are recorded in the accounts of both entities. Each accounting entity interprets transactions from its own viewpoint. For example, the same transaction may be recorded as a sale by one accounting entity and as a purchase by another. Similarly, one accounting entity may record a transaction as an investment, while the other accounting entity may record it as a capital contribution. In any particular case the identification of the accounting entity may be difficult. Consider,for example, the case of a large chain of retail stores. Is the accounting entity the whole business, a regional operation, a single store or a single department in that store? The answer can be found only by looking at the organization of the business. If a department has its own accounting system and records transactions with other departments, then it is an entity for accounting purpose. If it has no records, then it is not an accounting entity. The accounting entity is, therefore, identified as the smallest unit of activity with a self-contained accounting system。 THE “GOING CONCERN” CONVENTION Contemporary accounting assumes the ent