The matching principle supports matching expenses with the related revenues.

Name: The matching principle supports matching expenses with the related revenues.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The matching principle is an accounting concept that requires expenses to be recorded in the same accounting period as the related revenues. This ensures that the income statement reflects the true profitability of the business. Therefore, option A is correct.

The Matching Principle Supports Matching Expenses with the Related Revenues