1. (TCO A) Listed below are several information, characteristics, and accounting principles and assumptions. Match the term with the appropriate phrase that states its application.

Potential Matches:

1 : Accruals and deferrals in adjusting and closing process

2 : Earnings process completed and realized or realizable

3 : The impact of an item on the overall financial operations of a company

4 : Notes as part of necessary information to a fair presentation

5 : Business enterprise assumed to have a long life

6 : Cost of providing financial information versus the benefits derived from its use

7 : Valuing assets at amount originally paid for them

8 : Stable dollar assumption

9 : Presentation of error-free information with representational faithfulness

Answer

: Going concern principle

: Revenue recognition principle

: Materiality constraint

: Historical cost principle

: Monetary unit

: Reliability characteristic

: Matching principle

: Cost-benefit relationship

: Full disclosure principle