The underlying accounting principle(s) necessitating amortization of intangible asset(s) is/are __________.

cost concept

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Realization concept

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Matching concept

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All of the above

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Solution

The correct option is B Matching concept
The underlying accounting principle necessitating amortization of intangible assets is Matching concept.
In accrual accounting, matching concept states that expenses should be recorded during the period in which they are incurred, regardless of when cash transfer incurs.

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