Question

accrual basis of accounting​

Answer 1

Answer:

Accrual of something is, in finance, the adding together of interest or different investments over a period of time. It holds specific meanings in accounting, where it can refer to accounts on a balance sheet that represent liabilities and non-cash-based assets used in accrual-based accounting.

Answer 2

Explanation:

1. Accrual refers to an entry made in the books of accounts related to the recording of revenue or expense paid without any exchange of cash. ... Under the accrual method of accounting expenses are balanced with revenues on the income statement. It helps give a better picture of the company's financial condition.