9 PgUp Date: Class: Name: 3 Chapter 1.5 Pgon 13. Which of the following statements is true concerning the matching principle? 4. All costs can be directly matched with revenue. Enter b. All costs can be indirectly matched with periods in which they provide a benefit. . The association of assets for a period with the liabilities necessary to generate the assets is known as the matching principle, d. Cost of goods sold matched with sales revenue is a classic example of direct matching under the matching intel principle. evo 14. All of the following describe a revenue except: a. A revenue can result in the inflow of assets. 17 b. A revenue can result in the settlement of liabilities from the delivery or distribution of goods. C. A revenue can result in the settlement of liabilities from rendering services. d. A revenue must involve an inflow of assets. 15. If the sum of the debits and credits in a trial balance is not equal, then a. there is no concern because the two amounts are not meant to be equal. b. the chart of accounts also does not balance. c. it is safe to proceed with the preparation of financial statements. i. most likely an error was made in posting journal entries to the general ledger or in preparing the trial balance. Wolfe Inc. Wolfe Inc. reports these account balances at January 1. 2016: Retained Earnings $ 49,000 Accounts Receivable 20,000 Accounts Payable 24,000 Capital Stock 185.000 Land 153,000 Cash 13,000 Equipment 20,000 Notes Payable 28,000 Buildings 80,000 16. See the account balances for Wolfe Inc. On January 31, Wolfe collected $12,000 of its accounts receivable and paid $11,000 on its note payable. In Wolfe's trial balance prepared on January 31, 2016, the total of the credit column is: a. $297,000 b. $287,000 c. $286,000 d. $275,000