Which of the Following Is a True Statement Regarding Expenses

question 105

Multiple Choice

Which of the following is a true statement regarding expenses?

• A) To recognize expenses along with the related revenues means to subtract expenses from related revenues to compute net revenue.
• B) The expense recognition principle is also called the matching principle.
• C) Expenses must be paid immediately.
• D) Expenses must always be less than revenues.

---

Definitions:

Egocentrism

Describes the inability to differentiate between one's own perspective and someone else's perspective, often observed in early childhood development.

Personal Perspective

An individual's unique way of viewing the world, influenced by experiences, beliefs, and emotions.

Toy Horse

A replica of a horse, often used as a plaything, which can help in the development of imaginative and physical skills in children.

Centration

A cognitive limitation in early childhood where a child focuses on one aspect of a situation and neglects others.