Accounting for IGCSE & O level - Advanced Principles (Section 7 - No. 14)
Which principle does the statement: 'Profits should not be overstated by ignoring reasonable losses and incomes should not be anticipated before it is earned', relate to?
Matching principle
Prudence principle
Realization principle
Consistency principle
คำอธิบาย
The quote directly describes the prudence principle.