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Which is the most used method to calculate measuring income?

19. Which is the most used method to calculate measuring income?

1. Find out the net difference between two financial year
2. To apply the average return on capital invested
3. To apply the normal rate of interest on capital invested
4. Matching the cost with revenue

Answer: D) Matching the cost with revenue

Explanation:

The exchange, or activity, approach is the most regularly utilized methodology. With this methodology, bookkeeping is finished throughout tasks. This implies that benefit or misfortune from a given assistance line or the item is reserved immediately. Also, it isolates out pay from tasks and some other outside sources.