Which of the Following Accounting Principles Requires Depreciation

question 116

Multiple Choice

Which of the following accounting principles requires depreciation?

• A)The entity concept
• B)The matching principle
• C)The reliability principle
• D)The profit recognition principle

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Definitions:

Electronic Commerce

The buying and selling of goods and services, or the transmitting of funds or data, over an electronic network, primarily the internet.

Inventory

The total amount of goods or materials held by a business, intended for sale or production purposes, requiring efficient management to optimize supply chain operations.

Promotion

Marketing activities aimed at increasing awareness, interest, and sales of a product or service, often involving advertising, sales, and public relations strategies.

Distribution

The process involved in moving a product from the manufacturer or supplier to the consumer, including transportation, warehousing, and retailing.