Para 1.1.8 — CAM

1.1.8 The Government Accounts is maintained on cash basis representing the actual cash receipts and disbursements during a financial year as distinguished from an accrual system of accounting. Some accrual/modified accrual-based statements as decided by the Government from time to time, are also prepared. This includes statements on, Total Liability of the Government, Contingent Liability, Financial Assets etc., and are appended as disclosures to the accounts. As a general rule, the classification of transactions in Government accounts, or the chart of accounts are designed to reflect the functions, programmes, activities and the objects or the economic classifications of the revenue and expenditure transactions.