prudence concept
Definition
Accounting concept that requires recording (recognizing) the expenses and liabilities as soon as possible, but the revenues only when they are realized or assured. It implies that only that method of determining asset value or net income which yields the lesser amount should be used. See also accounting concepts.
email to a friend
print this definition
cite this definition
link to this page
prudence concept is in the Corporate, Commercial, & General Law subject.
prudence concept appears in the definitions of the following terms: conservatism principle and accounting concepts
This content can be found on the following page:
http://www.businessdictionary.com/definition/prudence-concept.html