Question 1 of 11 - /0.25 E View Policies Current Attempt in Progress Under the accrual basis of accounting: o net income is calculated by matching cash outflows against cash inflows. o the ledger accounts must be adjusted to reflect a cash basis of accounting before financial statements are prepared under generally accepted accounting principles. O events that change a company's financial statements are recognized in the period they occur rather than in the period in which cash is paid or received. O cash must be received before revenue is recognized