2017 · Q57
As per the traditional approach, the expense to be matched with revenue is based on
General Accounting Principles, Auditing and InsuranceRecording transactions
- Aoriginal cost
- Bopportunity cost
- Creplacement coat
- Dcash cost
Explanation
The traditional approach to matching expenses with revenue uses historical (original) cost as the measurement basis, e.g., depreciation on original cost. Opportunity cost and replacement cost belong to economic and current-cost approaches, and cash cost is not the recognised basis. Hence A.