Debit and credit is the common language in accounting. Then, how we can justify that different set ups uses different types of accounting?
No there is no compulsion to have only cash or mercantile system for specific country but it depends upon the accounting environment.
Before the adoption of International Public Sector Accounting Standard (IPSAS), public sector was talking about cash, and private sector accrual, but following the adoption of IPSAS in 2012, public sector join private sector by moving from cash to accruals Accounting. This make me to affirm with certainty that "Accounting is common for all entities".
There are many nuances in public sector accounting between cash and accrual, we discuss about cash, modified cash, modified accrual and accrual depending on traditions, users needs and culture.
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