The correct answer is C. Revenues with expenses.
The matching concept is a fundamental accounting principle that requires expenses to be matched with the revenues they generate in the same accounting period. This helps to ensure that a company’s financial statements are accurate and that its profits or losses are properly reported.
Option A is incorrect because assets and liabilities are not directly related to revenues and expenses. Assets are resources that a company owns, while liabilities are obligations that a company owes.
Option B is incorrect because capital is not directly related to revenues and expenses. Capital is the total amount of money that a company has invested in its business.
Option D is incorrect because expenses are not directly related to capital. Expenses are costs that a company incurs in order to generate revenues.
The matching concept is an important accounting principle that helps to ensure that a company’s financial statements are accurate and that its profits or losses are properly reported.