Bookkeeping

The matching principle requires that expenses should be matched to revenues earned during an accounting period. Matching principle is especially important in the concept of accrual accounting. Matching principle states that business should match related revenues and expenses in the same period. Balance Sheet For example, it may not make sense…

They provide a legal document that details the transaction and terms under which sales occur. Companies need to make sure invoices include pertinent information and are accurate. When partial deliveries are made or progress payments are required for goods or services, an interim invoice can detail amounts due that are less than the total amount.…