0
Want this question answered?
Be notified when an answer is posted
Add your answer:
Earn +20 pts
What is an accrual in accounting?
Generally, an accrual is either: 1. An expense you have incurred but have not yet paid. 2. A revenue you have earned but have not yet collected. Accruals are determined at the end of every accounting period (month end). You accrue expenses (Debit Expenses and Credit Payables). You accrue revenues (Debit Accounts Receivable and Credit Revenues) There is an excellent brief tutorial on accruals included with the ACCULATOR. The ACCULATOR (www.acculator.com) helps you solve your accounting homework problems.
What is the Difference between account payable and accrued expense?
Accounts Payable are supported by invoices or billing statements. Accrued Expenses are expenses which relate to the current period; however, there is not an invoice on hand. For example, the company lawyer bills the company for his services on an invoice on the 15th of each month, you would post his invoice in Accounts Payable and accrue legal fees for the 16th to the end of the month.
When do you accrue for audit fees monthly or year end?
year end
What are the two types of expenses?
fixed expenses and variable expenses
How are variable expenses different from fixed expenses?
Variable expenses are those expenses which vary according to production level while fixed expenses are those expenses which have no effect of production level and remain same.
What would be journal entry to accrue the expenses?
Expences head a/c To, expences payble account
Where do you File warranties in bookeeping?
Companies must accrue estimated warranty expenses. The journal entry to accrue the expenses is a debit to warranty expense, and a credit to an accrued warranty liability account. When warranties are paid the debit is to the warranty liability account and the credit is to the cash or bank account.
What is an accrual account?
Generally, an accrual is either: 1. An expense you have incurred but have not yet paid. 2. A revenue you have earned but have not yet collected. Accruals are determined at the end of every accounting period (month end). You accrue expenses (Debit Expenses and Credit Payables). You accrue revenues (Debit Accounts Receivable and Credit Revenues) There is an excellent brief tutorial on accruals included with the ACCULATOR. The ACCULATOR (www.acculator.com) helps you solve your accounting homework problems.
What is an accrual in accounting?
Generally, an accrual is either: 1. An expense you have incurred but have not yet paid. 2. A revenue you have earned but have not yet collected. Accruals are determined at the end of every accounting period (month end). You accrue expenses (Debit Expenses and Credit Payables). You accrue revenues (Debit Accounts Receivable and Credit Revenues) There is an excellent brief tutorial on accruals included with the ACCULATOR. The ACCULATOR (www.acculator.com) helps you solve your accounting homework problems.
What would the journal entry be to accrue for 2007 accounting expenses that won't be received until 2008?
Debit an expense account for the amount of the expenses incurred in 2007 to recognize the expense. Credit an accrued liabilities account to reflect the amount owed as of the end of 2007.
Should you take out a student loan to pay for college expenses?
Not unless you have to, otherwise you are in debt as soon as you graduate and it must be repaid and will accrue interest forever. Not even a bk can erase a student loan.
Can you give an example of a simple sentence using the word accrue?
Accrue holiday
What are accrued expenses reported on the balance sheet as?
As you accrue expenses, they show up as a CREDIT on the balance sheet, and a DEBIT on the income statement. Then as you actually incur the expense and pay out, you would CREDIT your cash account, and DEBIT the accrued liability account on the balance sheet. For example, if you expect to spend $12,000/year on business travelling expenses, you would accrue $1000 monthly as a CREDIT to your accrued liability account (on the balance sheet), then a DEBIT to the expense account (on the income statement). When you actually do incur the expense and pay out, you CREDIT your cash account, and DEBIT the accrued liability account. Thus, the accrued liability account is cleared out and eventually washed out to zero.
What is adwords accrue cost?
I think your advertising campaigns must accrue costs of at least $25.
A sentence using a word accrue?
Your money will accrue interest after leaving it in the bank for 12 months.
How do minerals naturally accrue?
they are naturally accrue by the wind pushing other rocks together and creating a mineral
If a person dies can the credit card account still accrue interest?
No, it should not continue to accrue interest.
