At the end of the fiscal year, an adjusting entry is made that increases both interest expense and interest payable.This entry is an application for which accounting principle?
A) full disclosure
B) materiality
C) matching
D) going concern
E) realization

Question

Quizplus · Accepted Answer

The matching principle requires that expenses be recorded in the same period as the revenues they help to generate, ensuring accurate financial reporting.

At the End of the Fiscal Year, an Adjusting Entry