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Which principle of accounting is best illustrated by the following scenario? A company sells a product that has a two-year warranty covering parts and labor.

Which principle of accounting is best illustrated by the following scenario?

A company sells a product that has a two-year warranty covering parts and labor. In the same period that revenues from product sales are recorded, an estimate of future warranty costs is recorded as an expense.

A.

Revenue recognition principle

B.

Materiality principle

C.

Cost principle

D.

Matching principle

please answer asap

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