Matching Concept
Trending Questions
Explain the advantages of accounting.
explain the Role of Profit in the Business.
Difference between capital loss and depreciation
Is purchase returns a debit or credit in the trial balance?
How does the matching principle apply to depreciation?
Accounting provides information about the profitability and financial soundness of a concern. In addition, it provides other valuable information also. However, accounting has certain limitations. Explain any three such limitations.
State what is the end product of financial accounting.
What is the difference between GAAP and Ind AS?
The matching concept matches which of the following?
Assets with Liabilities
Capital with Income
Incomes with Expenses
Expenses with capital
Explain Revenue Recognition and a Verifiable Objective concept of accounting.
What are the limitations of incomplete records?
Recognition of cost in the same period as associated revenues is known as?
Matching
Cost concept
Money Measurement
Dual Aspect
What is the journal entry of purchased office equipment on account
What are the advantages and disadvantages of cash basis of accounting?
Matching concept means:
Assets = capital + liabilities
Transactions recorded at accrual concept
Anticipate no profit but recognize all losses
Expenses should be matched with the revenue of the period
Why do Businesses have incomplete records?
What is the accrual basis of accounting?
What is the difference between depletion and depreciation?
What is the correct accounting treatment, if the closing stock of Rs 20, 000 is given as adjustment?
It shall be shown on the debit side of trading account & assets side of balance sheet as Rs 20, 000
It shall be shown on the credit side of trading account & assets side of balance sheet as Rs 20, 000
It shall be shown on the debit side of trading account & liabilities side of balance sheet as Rs 20, 000
It shall be shown on the credit side of trading account & liabilities side of balance sheet as Rs 20, 000
What happens if you violate the matching principle in accounting?
It will always result in a loss to the company
Investors will appreciate the lower tax burden
Accounting reports are more accurate since both revenue and expenses will be recorded when they actually occurred
Accounting reports will not reflect an accurate financial assessment of the organization
Under which concept, recognition of expenses must be made in the same period as associated revenue?
Going concern
Matching
Objectivity
None of the above
The purpose of adjustments is
to make sure that revenue is recognised in the period in which it is earned and expenses are recognised in the period in which they are incurred.
to update the accounts to confirm with the accrual concept.
All of the above
to assign appropriate portion of revenue and expenses to the appropriate accounting period.
Explain Full Disclosure and Business Entity principle of accounting.
With the help of an example, explain the materiality principle.
Explain the principle of full disclosure.
What Is the Matching Principle in GAAP Accounting?
Charging the whole cost of asset in the first year itself is not correct. Why?
What is the matching concept? Why should a business concern follow this concept? Discuss.
Which basis of accounting gives a correct picture of operating results and financial position of a firm?
What are the financial statements? What information do they provide?
