Expenses are recorded when
A) cash is paid for services rendered
B) a bill is received in advance of services rendered
C) assets are used in the process of earning revenue
D) none of these

Question

Quizplus · Accepted Answer

Expenses are recorded when assets are used in the process of earning revenue, as this reflects the matching principle in accounting, where expenses are matched with the revenues they help to generate.

Expenses Are Recorded When