A firm debits all items of equipment costing less than Rs. 250 to miscellaneous expenses.this treatment of the expenditure is supported by which principle?

In the given case the firm has debited all items of equipments costing less than Rs 250 to miscellaneous expenses. Here firm is following Materiality Principle of Accounting, as per this principle items that are having substantial effect and also influences decision of Investors should be disclosed in the books. Deciding materiality of an expense/income largely depends on its nature as well as their amount. As per firm Cost of equipment less than Rs 250 is not material due to low value so instead of Capitalising such amount in Equipment it has transferred such amount on debit side of Profit and Loss Account as Miscellaneous Expense.