The matching principle of the Generally Accepted Accounting Principles (<em>GAAP</em>) states that the expenses a company incurs during a period must match with the revenues those expenses were incurred during the same period. This principle is usually implemented with the accrual accounting method leaving in clear that expenses are incurred to generate profit.
To calculate for the approximate market potential, we
simply have to take the ratio of the current market demand over the market
development index in fraction. That is:
