The expense recognition principle states that expenses should be matched with revenues.Another way of stating the principle is to say that

Question

Quizplus · Accepted Answer

The expense recognition principle requires that expenses should be matched with the revenues they helped generate. This means that efforts made to earn revenue should be recognized as expenses in the same period as the revenue is recognized. Therefore, option B correctly states that efforts should be matched with accomplishments. The other options are not directly relevant to the expense recognition principle.

The Expense Recognition Principle States That Expenses Should Be Matched