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    Question

    Which principle states that transactions should be

    recorded when they occur, regardless of whether cash has been exchanged or not?
    A Accrual principle Correct Answer Incorrect Answer
    B Matching principle Correct Answer Incorrect Answer
    C Cost principle Correct Answer Incorrect Answer
    D Prudence principle Correct Answer Incorrect Answer

    Solution

    The accrual principle states that transactions should be recorded when they occur, regardless of whether cash has been exchanged or not.

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