Why is the matching principle important

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Reference no: EM131486872

Question: 1. Why is depreciation of plant and equipment an expense in the income statement?

2. Is amortization of a patent right an appropriate expense in measuring value added in operations?

3. Why is the matching principle important?

4. Why do fundamental analysts want accountants to follow the reliability criterion when preparing financial reports?

Reference no: EM131486872

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Why is the matching principle important : Why is depreciation of plant and equipment an expense in the income statement?

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