According to accounting principles, ________ and ________ should be recorded or atched in the same accounting period; failing to do so violates the matching principle of AAP.

Question

Quizplus · Accepted Answer

According to accounting principles, the matching principle of AAP requires that revenue and corresponding expenses should be recorded or matched in the same accounting period. This means that if a company generates revenue in a particular period, the expenses that are directly related to that revenue should also be recorded in the same period to accurately reflect the financial performance of the company for that period. Failing to do so violates the matching principle of AAP. Therefore, option A is the correct choice.

According to Accounting Principles, ________ and ________ Should Be Recorded

According to Accounting Principles, and Should Be Recorded