Question

Assertion (A)- It is not necessary to match "revenues" of the period with the "expenses" of that period to determine correct profit or loss for the accounting period.
Reason (R) – Therefore, it is not relevant when the payment was made or received. All adjustments are made for all outstanding expenses and prepaid expenses.
(a) Both (A) and (R) are true and (R) is the correct explanation of (A).
(b) Both (A) and (R) are true and (R) is not the correct explanation of (A).
(c) (A) is true, but (R) is false
(d) (A) is false, but (R) is true.

Answer 1

Answer:

its option D

Explanation: