What is GAAP (Generally Accepted Accounting Principles)

What is GAAP (Generally Accepted Accounting Principles)?

GAAP (Generally Accepted Accounting Principles) refers to the accounting principles, standards, and guidelines that are generally accepted and followed by companies in India for the preparation and presentation of financial statements. These principles are developed and issued by the Institute of Chartered Accountants of India (ICAI) and are based on the historical cost convention.