Accounting entity entity separate from owner (business separate from personal assets) Cost principle assets recorded at acquisition price historical cost . Going concern financial reports prepared on assumption that entity will continue to operate. Accounting period profit determined for arbitrary period e. g financial year, calendar year, quarter. Matching principle profit can be seen as a process of matching revenues recognised for the period with expenses incurred in earning that revenue. Reliability accounting data is objective and verifiable historical cost . Aasb australian accounting standards board relevant companies legally binding corporations act. Cpaa certified practicing accountants australia joint code of conduct. Icaa institute of chartered accountants australia independent professional accountants. Cima chartered institute of management accountants accountants working in businesses. Income statement statement of changes in equity trial balance adjusted trial balance. Sole proprietorship separate accounting entity, not separate legal/taxable entity, unlimited liability (personally liable for debts of business) Partnership same as sole proprietorship except partners.