Adjusting entries are Group of answer choices needed to bring accounts up to date and match revenue and expense rarely needed in large companies optional under generally accepted accounting principles the same as correcting entries?

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Social Studies

Sidney Shepherd

11 May, 09:41

Adjusting entries are Group of answer choices needed to bring accounts up to date and match revenue and expense rarely needed in large companies optional under generally accepted accounting principles the same as correcting entries?

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Answers (1)

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Gaven · Answer 1

needed to bring accounts up to date and match revenue and expense

Explanation:

The adjusting entries are the entries that are recorded to adjust the balance of the accounts. Its motive to match and equate the revenue and expenses accounts. It is to be recorded before the financial statements closed

It also follows the matching principle in which the revenues of the period should be matched with the expenses of that period.

Like: accrued expenses, accrued revenues, etc