The accounting concept or principle applied when an allowance is provided for estimated uncollectible accounts receivable is:
A)consistency.
B)matching revenue and expense.
C)original cost.
D)objectivity.

Question

Quizplus · Accepted Answer

The matching principle requires that expenses be matched with revenues in the period in which they are incurred, which is why an allowance for estimated uncollectible accounts is recorded.

The Accounting Concept or Principle Applied When an Allowance Is