Which of the following is in accordance with generally accepted accounting principles?

Question

Quizplus · Accepted Answer

Accrual-basis accounting is in accordance with generally accepted accounting principles, as it recognizes revenue and expenses when they are earned or incurred, regardless of when the cash actually changes hands. Cash-basis accounting, on the other hand, only recognizes revenue and expenses when the cash is received or paid, which can lead to inaccurate financial statements.

Which of the Following Is in Accordance with Generally Accepted