MATCHING CONCEPT OF ACCOUNTING
ALL ABOUT ACCOUNTING :- 26th BLOG ☆☆☆ACCOUNTING☆☆☆ Hi freinds., 🙏 Today's discuss 9th or final concept of accounting.... So let's discuss ..... ★ MATCHING CONCEPT : The matching concept states that the revenue and the expenses incurred to earn the revenues must belong to the same accounting period. So once 1️⃣ the revenue is realised, the next step is to allocate it to the relevant accounting period. This can be done with the help of accrual concept. Let us study the following transactions of a business during the month of June 2020. 1. Sale : cash ₹ 1,00,000 and credit ₹ 1,00,000 2. Salaries paid : ₹ 10,000 3. Commission paid : ₹ 5,000 4. Office expanses : ₹ 10,000 5. Transport and forwarding expenses paid : 2,000 6. Interest received : 5,000 7. Rent re...