Question
Cost or expenses must be recorded at the same time as
the revenue to which they correspond is specified by which principle?Solution
According to the Matching Principle, expenses should be recognized in the same period as the revenues they helped generate, regardless of when the actual cash payment occurs. This principle ensures that the financial statements reflect the true profitability of a business by matching the expenses incurred to generate revenues in the same accounting period.
In the question below three statements are given fol lowed by three conclusions I and I I. You have to take the given statements to be true even if the...
Statements: Â Â Â Â Â No apple is an orange.
                               All oranges are grapes.
...
Statements: Some pins are mirrors. Â
All mirrors are boxes.
Conclusions:I. Some boxes are pins.Â
 II. Some boxes are mirrors.
Statements:
Some bangles are necklaces.
No necklace is a ring.
Only a few rings are anklets.
All anklets are earrings.
<...Statements:
99% nerves are veins.
34% veins are arteries.
None of the arteries are vessels.
Conclusions:
I. Some nerv...
Statements:
All TVs are laptop.
Some laptops are computers.
All computers are keyboards.
Conclusions:
I. Some TV...
Statements:
All lion are tiger
No tiger is a cat
No lion is a dog
Conclusions:
I. Some lion are not cat
II. Some tiger are not dog
Statements:
Some doors are windows.
All windows are beds.
Some beds are pillows.
All pillows are blankets.
...
Statements: Onion % Brinjals Brinjals # Tomato Cauliflower & Cucumber Tomato @ Cauliflower
Conclusion:
I. Cauliflower $ Brinjals
II...
Read the given statements and conclusions carefully. Assuming that the information given in the statements is true, even if it appears to be at varianc...
