1.In the context of companies, what is the purpose of Accounting?

(1) Accounting is concerned with collecting financial information

(2) Accounting is concerned with analysing financial information

(3) Accounting is concerned with communicating financial information

A Only (2) and (3)

B Only (1) and (2)

C (1), (2) and (3)

D Only (2)

E No other answer is correct

2.Which of the following describes the "matching principle"?

A Assets are matched to liabilities and equity for the year

B Income is matched to the expenses which were used to generate that income

C No answer is correct

D All debits and matched to all credits

E Income Statement is matched to the Balance Sheet every year