Money measurement concept

" Recording of transactions are only in terms of money in the process"

This is the concept tweaks the system of accounting as productive in recording the transactions and events of the enterprise only in terms of money.

The money is used as well as expressed as a denominator of the business events and transactions. The transactions which are not in the manifestation of monetary terms cannot be registered in the book of accounts as transactions. The transactions which are not in financial in character cannot be entered in the book of accounts.