b. efforts should be matched with accomplishments. C. dividends should be matched with stockholder investments. d. cash payments should be matched with cash receipts. 2. Depreciation is a process of a. asset devaluation. b.cost accumulation. C. cost allocation d. asset value 3. Recording depreciation each period is necessary in accordance with the a. going concern principle. b. cost principle. c. matching principle. d. asset valuation principle 4.Why is a Balance Sheet an important financial statement? a. Because it lets people know whether a company made or lost money b. Because it explains how much money is retained and reinvested in the c. Because it lists all the assets, liabilities, and owner's equity of a compa d. Because it shows how much money came into the company and how n out 5. Assets, liabilities and owner's equity are reported on which financial state report? a. Income Statement b. Statement of Retained Earnings c. Balance Sheet d. Statement of Cash Flow