Perfect Competition and its Characteristics are stated below
• Large number of sellers
• Only homogeneous products and commodities are for sale
• Firms are permitted to enter and exit freely
• Perfect mobility of the factors
• Perfect knowledge and understanding of all the market situations
• Absent of the transport cost
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The dissimilar areas to be covered are relies on requirement of uniformity in the reporting and accuracy of the comparison needed through the various units participated in the uniform costing system.
After decided on the point at which revenue is recognised, we can now twist to the subject of the recognition of expenses. The relevant convention in accounting is intended to give guidance regarding the recognition of expenses.
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