meaning of accounting entity

accounting entity meaning in Law Dictionary

unit in economics that engages in tasks, controls sources, and it is perhaps not the main company. AKA reporting entity.

accounting entity meaning in Business Dictionary

plainly defined financial unit which (1) engages in recognizable economic tasks, (2) controls economic resources (that accounting documents are maintained and periodic financial statements are prepared) and (3) is distinct from the individual transactions of their owners or staff members. To ensure might bookkeeping equation constantly is the same distinct entity the boundaries regarding the product, once established, should not be altered arbitrarily. Also called stating entity.