At the end of the fiscal year, an adjusting entry is made that increases salaries payable and increases salaries expense.This entry is an application of which accounting principle?
A) full disclosure
B) materiality
C) matching
D) realization
E) historical cost

Question

Quizplus · Accepted Answer

The matching principle requires that expenses be recorded in the same period as the revenues they help to generate, ensuring accurate financial reporting.

At the End of the Fiscal Year, an Adjusting Entry