I.Timing and Reporting of Revenueand ExpenseA.TheAccounting Period1)Time-period Principle•Ensures that accounting information is reported at regular intervals(artificial time periods). •Because these intervals are often different from the intervals for transactions, accounts must be updated(or adjusted) to make sure that all revenuesand expensesfor the accounting period have been recorded.B.Recording Revenues and Expenses1.Revenue Recognition Principle•Revenueshould be recorded when earned•Revenue is earned when the business has delivereda completed goodor serviceto the customer.2. Matching Principle