Under the General Financial Rules (GFR) 2017, who is the primary authority responsible for sanctioning contingent expenditure in a government department?
Explanation:
Under GFR 2017, the Controlling Officer is primarily responsible for sanctioning contingent expenditure and ensuring that such expenditure is within the authorized limits.
A: The Matching Concept requires expenses to be matched with revenues. R: This concept is the basis for the accrual system of accounting. Choose the correct option.
A.A is true but R is false
B.Both A and R are true and R is the correct explanation of A
C.Both A and R are true but R is NOT the correct explanation of A
Explanation:
The Matching Concept dictates that expenses incurred to earn revenue must be recognized in the same period as the revenue. This necessitates the accrual system, where transactions are recorded when they occur, not when cash changes hands. R correctly explains A.
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