Window Dressing:œWindow dressing is commonly used to refer to the way the window of a retail business is œdressed to make the goods and services sold look more appealing. However, when it comes to the finance side of the business world, the term means something slightly different. In finance, window dressing refers to the efforts taken to make the financial statements of business look better before they are publicly released. The downside to window dressing is that, on the whole, its looked at with skepticism. Window dressing comes with at least a slightly negative connotation. This is because it can “ and sometimes does “ involve making unethical or even illegal changes to numbers, charts, timelines, orders, etc. , in order to make the financial picture of a company look the most appealing to outsiders. ?Convention of disclosure:The accountant should show the correct information in the book of account. The same information should be disclosed by him. In window dressing, accountant or businessman changes the information in accounting records for getting benefits from outside parties. So, as per the convention of disclosure, Window dressing should be prohibited. 1. Convention of materiality:This accounting convention proposed that while accounting only those transactions will be considered which have a material impact on financial status of the organization and other transactions which have insignificant effect will be ignored. It gives relative importance to an item or event. 2. Convention of conservatism:In accounting, the convention of conservatism, also known as the doctrine of prudence, is a policy of anticipating possible future losses but not future gains. 3. Accrual concept:Accrual concept is the most fundamental principle of accounting which requires recording revenues when they are earned and not when they are received in cash, and recording expenses when they are incurred and not when they are paid.