10 Nov The Matching PrincipleThree methods of matching co
The Matching PrincipleThree methods of matching costs with revenue were described in the chapter: (a) directly matcha specific form of revenue with a cost incurred in generating that revenue, (b) indirectly match acost with the periods during which it will provide benefits or revenue, and (c) immediately recognizea cost incurred as an expense because no future benefits are expected. For each of the followingcosts, indicate how it is normally recognized as expense by indicating either (a), (b), or (c).If you think that more than one answer is possible for any of the situations, explain why
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