{"id":3210,"date":"2024-09-03T15:57:09","date_gmt":"2024-09-03T21:57:09","guid":{"rendered":"https:\/\/q1dapyf5zv.onrocket.site\/?p=3210"},"modified":"2024-09-03T16:38:36","modified_gmt":"2024-09-03T22:38:36","slug":"asociacion-costos-y-gastos-con-ingresos","status":"publish","type":"post","link":"https:\/\/taxid.mx\/english\/asociacion-costos-y-gastos-con-ingresos\/","title":{"rendered":"Basic Postulate: Association of costs and expenses with income"},"content":{"rendered":"
The association of costs and expenses with income is one of the basic postulates<\/strong> established in the NIF A-2<\/strong>.<\/p>\n\n\n\n This postulate establishes that costs and expenses must be recognized in the same period in which the income to which they are associated is recognized.<\/p>\n\n\n\n Suppose you have a company that manufactures and sells furniture:<\/strong><\/p>\n\n\n\n In September 2024, you will recognize 1TP4Q10,000 of revenue and 1TP4Q6,000 of costs, giving you gross profit of 1TP4Q4,000.<\/p>\n\n\n\n The association postulate seeks to ensure that the financial statements adequately reflect the relationship between income and the costs\/expenses that contribute to generating them, which is essential for a correct financial interpretation.<\/p>\n\n\n\n Below we present the journal policies and an income statement to better exemplify the operations mentioned above:<\/p>\n\n\n\n Conclusion: This postulate is essential to maintaining integrity and consistency in financial information, allowing users of financial statements, such as investors and managers, to make informed decisions based on data that reflect the true relationship between revenues and associated costs. Without this correspondence, financial statements could give a distorted image of the company's performance, which could lead to wrong decisions.<\/p>\n<\/span>","protected":false},"excerpt":{"rendered":" The association of costs and expenses with income is one of the basic postulates established in NIF A-2. This postulate establishes that costs and expenses must be recognized in the same period in which the income to which they are associated is recognized. Example of the application of NIF Suppose that [\u2026]<\/p>","protected":false},"author":5,"featured_media":3202,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"off","_et_pb_old_content":"","_et_gb_content_width":"","_joinchat":[],"footnotes":""},"categories":[1],"tags":[],"class_list":["post-3210","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"yoast_head":"\nExample of the application of the NIF<\/h2>\n\n\n\n
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Accounting Entries:<\/h2>\n\n\n\n
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Income Statement (For the month of September 2024):<\/h2>\n\n\n\n
Concept<\/strong><\/td> Amount<\/strong><\/td><\/tr><\/thead> Sales revenue<\/strong><\/td> $10,000<\/td><\/tr> Less: Cost of sales<\/strong><\/td> ($6,000)<\/td><\/tr> Gross Profit<\/strong><\/td> $4,000<\/td><\/tr> Less: Operating expenses<\/strong><\/td> $0<\/td><\/tr> Operating Profit<\/strong><\/td> $4,000<\/td><\/tr> Less: Financial expenses<\/strong><\/td> $0<\/td><\/tr> Profit before tax<\/strong><\/td> $4,000<\/td><\/tr> Less: Taxes<\/strong><\/td> $0<\/td><\/tr> Net Income<\/strong><\/td> $4,000<\/strong><\/td><\/tr> <\/td> <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
<\/p>\n\n\n\n