The matching principle requires that all known costs be charged to the current period of operations.

Name: The matching principle requires that all known costs be charged to the current period of operations.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The matching principle requires that expenses be matched with the revenues they help to generate in the same period, not simply charged to the current period if they do not directly contribute to current revenues.

The Matching Principle Requires That All Known Costs Be Charged