1** Land and buildings are shown in the Financial records at cost price (R 500 000) even though the market price of the property is R1 000 000.

Here are the matches for each item: 1.1 Land and buildings are shown in the Financial records at cost price (R 500 000) even though the market price of the property is R1 000 000. This describes the Historical cost* principle, where assets are recorded at their original purchase price. 1.1 - E 1.2 Interest on overdraft is shown in a separate account in the General Ledger. This suggests that the interest expense is significant enough to be presented distinctly, aligning with the Materiality* concept. 1.2 - F 1.3 The telephone account of the owner, that is paid by the business, is allocated to the drawings account. This illustrates the Business entity concept*, which separates the owner's personal transactions from the business's transactions. 1.3 - A 1.4 Assets and Liabilities are not over- or understated in the financial records of the business. This refers to the Prudence* concept (also known as conservatism), which advocates for caution in financial reporting to avoid overstating assets or income and understating liabilities or expenses. 1.4 - D 1.5 Credit sales are recorded on the day it happened and not on the day the debtor settles the account. This is an application of the accrual basis of accounting. The Matching* principle requires that revenues and their related expenses be recognized in the same accounting period, which relies on the accrual basis for recording transactions when they occur. 1.5 - B Here are the final answers: 1.1 E 1.2 F 1.3 A 1.4 D 1.5 B Send me the next one 📸