A broad principle that requires identifying the activities of a business with specific time periods such as months,quarters or years is the:
A)Operating cycle of a business
B)Time period principle
C)Going-concern principle
D)Matching principle
E)Accrual basis of accounting

Question

Quizplus · Accepted Answer

The Time period principle requires that a business identifies the activities with specific time periods, such as months, quarters, or years. This principle allows for the comparison of financial information over different periods and enables stakeholders to analyze a business's performance and financial position. The other options are accounting principles, but they do not specifically relate to identifying activities with time periods.

A Broad Principle That Requires Identifying the Activities of a Business