The expense recognition principle states that expenses have future benefit to the company.

Name: The expense recognition principle states that expenses have future benefit to the company.
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Quizplus · Accepted Answer

The expense recognition principle actually states that expenses should be recognized in the period in which they are incurred, regardless of when the payment for them is made or when the benefits of the expenses are realized. It does not require that expenses have a future benefit to the company.

The Expense Recognition Principle States That Expenses Have Future Benefit