At the End of the Fiscal Year, an Adjusting Entry

question 30

Multiple Choice

At the end of the fiscal year, an adjusting entry is made that increases salaries payable and increases salaries expense.This entry is an application of which accounting principle?

• A) full disclosure
• B) materiality
• C) matching
• D) realization
• E) historical cost

---

Definitions:

Mental Illness

A broad range of mental health conditions that affect mood, thinking, and behavior, often requiring clinical intervention.

Cognitive Model

A theory in psychology that emphasizes the importance of internal thoughts and perceptions in determining behavior.

Abnormal Behavior

Patterns of emotion, thought, and action deemed pathological for one or more reasons, including discomfort, dysfunction, distress, or deviation from the norm.

Conscious Mental Processes

Thoughts, perceptions, and feelings of which an individual is aware at any given moment.