Sales revenue should be recorded in accordance with the matching principle.

Name: Sales revenue should be recorded in accordance with the matching principle.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Sales revenue should be recorded in accordance with the revenue recognition principle, which states that revenue is recognized when it is earned and realizable, not necessarily when cash is received. The matching principle, on the other hand, relates to expenses being matched with the revenues they help to generate.

Sales Revenue Should Be Recorded in Accordance with the Matching