An economic event that requires accounting recognition defines:
A) An income statement
B) An accounting transaction
C) The cost principle
D) An asset
E) None of the above

Question

Quizplus · Accepted Answer

An accounting transaction is an economic event that requires accounting recognition and is recorded in the financial statements. It can involve the transfer or exchange of economic value between two or more entities and impacts the financial position of a business.

An Economic Event That Requires Accounting Recognition Defines