Which of the following accounting principles requires depreciation?

Name: Which of the following accounting principles requires depreciation?
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Question

Quizplus · Accepted Answer

The matching principle requires that expenses be recognized in the same accounting period as the revenue they helped to generate. As assets, such as machinery or buildings, are used to generate revenue, their cost is allocated over their useful lives through depreciation. This ensures that expenses are matched to the revenue they helped to produce.

Which of the Following Accounting Principles Requires Depreciation