Matching concept is an accounting principle that which related to accrual basis and adjusting entries. For the proper ascertain of period profit, it's need to recognise revenues and expenses relate to same accounting period.
For example, Insurance paid for the full year will not recognize as Expense totally in the month which payment made.because, benefit of that expense will remain for full year. So the expense should be allocat to the particular period.
For such types of adjustments are provide through adjustment entries.
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