Expensing the cost of an asset over the asset's useful life is an application of the concept

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Expensing the cost of an asset over its useful life is an application of the matching principle, which is part of the broader concept of matching expenses with revenue. This principle dictates that expenses should be recognized in the period in which the related revenues are earned, thereby spreading the cost of an asset over its useful life as it contributes to generating revenue.

Expensing the Cost of an Asset Over the Asset's Useful