Explanation

The matching principle of accounting principles requires businesses to record depreciation.

 The matching principle states that the expense should be matched with the income generated during the period

Explanation

Companies are called legal persons because they can enter into a separate contract, or they can possess properties in their own name, sue and get sued by the other parties, etc. 

Explanation

Retained earnings are a type of equity and are therefore reported in the shareholders' equity section of the balance sheet.

Explanation

Stock Investments are not stockholders' equity accounts.

Explanation

Depreciation helps to tie the cost of an asset with the benefit of its use over time.

In other words, each year, the asset is put to use and generates revenue, the incremental expense associated with using up the asset is also recorded.

Depreciation arises due to physical wear and tear of the asset.

Explanation

The account format that displays debits credits balances and headings is called T-account.

A T-account is a way to format accounting transactions that displays debits on the left and credits on the right.

Explanation

The accrual basis of accounting records revenues when they are earned.

 In other words, under the accrual basis of accounting, the receipt of cash and the payment of cash are not the focus of reporting revenues and expenses.

Explanation

Statement of financial position or balance sheet is the expanded accounting equation

Explanation

Financial accounting is the process by which an organization's revenue, receivables and expenses are collected, measured, recorded and finally reported into a financial statement.

Explanation

Simla Deputation organized by the Indian Muslim leaders met the Governor-General and Viceroy Lord Minto in Simla on 1 October 1906. 

The delegation of Simla deputation met Lord Minto on 1st October 1906