Accounting for IGCSE & O level - Advanced Principles (Section 8 - No. 2)
What is the main objective of the matching principle in accounting?
To match assets with liabilities.
To match revenues with the expenses incurred to generate them.
To match the date of an invoice with the date of the payment.
To match the debits and credits of a transaction.
Explanation
The matching principle relates expenses with revenues in the same accounting period.