Even if the end of an accounting period occurs between the signing of a note payable and its maturity date, the matching principle requires that interest expense not be accrued on a note payable until the note is paid.

a) true

b) false

Question

Antwan Rubio

Business

16 January, 05:46

Even if the end of an accounting period occurs between the signing of a note payable and its maturity date, the matching principle requires that interest expense not be accrued on a note payable until the note is paid.

a) true

b) false

+1

Answers (1)

Know the Answer?

Elizabeth Wilkins · Answer 1

True

Explanation:

The matching principle states that only those payments and receipts which actually are paid or received. the interest accrued is not included unless it is paid

Even if the end of an accounting period occurs between the signing of a note payable and its maturity date, the matching principle requires that interest expense not be accrued on a note payable until the note is paid.a) trueb) false

Even if the end of an accounting period occurs between the signing of a note payable and its maturity date, the matching principle requires that interest expense not be accrued on a note payable until the note is paid.

a) true

b) false