One of the Principles of the Conceptual Framework Is the Matching

question 41

Multiple Choice

One of the principles of the conceptual framework is the matching principle.Which of the following is not a good example of that principle?

• A)A machine that produces certain goods is amortized over its useful life.The resulting amortization expense is matched with the proceeds from the sale of those goods.
• B)The entire two-year insurance premium is expensed in the first year.
• C)The write-off an uncollectible receivable in the year that the sale was made.
• D)The recognition of revenue for which associated expenses can not yet be determined is delayed until such determination can be made.

---

Definitions:

Accept the Offer

The act of agreeing to the terms and conditions of a proposal, such as a contract, thereby creating a binding agreement between the parties involved.

Revoked

To officially cancel or annul an authorization, license, or legal agreement.

Unequivocal

Leaving no doubt; unambiguous or clear in expression or meaning.

Timely Basis

The act of completing or delivering something within an expected or appropriate time frame.