what is accrual basis of accounting?explain in detail?
- 5 Answers
- 20493 Views
- Deloitte, Northern Trust, I also Faced
- E-Mail Answers
Answers were Sorted based on User's Feedback
Answer / dharmendra jha
Accrual basis means something that becomes due especially
an amount of money that is yet to be paid or received at
the end of the accounting period.
The accrual concept under accounting assumes that revenue
is realised at the time of sale of goods or services
irrespective of the fact when the cash is received. For
example, a firm sells goods for Rs 10,000 on 20th March
2010 and the payment is not received until 10th April 2010,
the amount
is due and payable to the firm on the date of sale i.e.
20th March 2010.
It must be included in the revenue for the year ending 31st
March 2010.
Similarly, expenses are recognised at the time services
provided, irrespective............
| Is This Answer Correct ? | 37 Yes | 6 No |
Answer / sameer
accrual accounting = recording income earned/ expenses made when they occur , irrespective of when cash is received or paid.
| Is This Answer Correct ? | 15 Yes | 0 No |
Answer / simran fukela
Accrual basis mean the income earned and expense incurred of this year is recorded in this year whether money paid and receipt in any financial year.
For example: rent charges of Rs. 10000 incurred in the month of march 2015. But Payment of expenditure is made on April 2016 but expenditure shall be recorded in march 2015
| Is This Answer Correct ? | 1 Yes | 0 No |
acrrual means recording the revenue or expenses for the period in which they are earned or incurred irrespective of whether cash transfer has taken place or not.
Earned= right to receive is established....
Incurred= obligation to pay is established...
| Is This Answer Correct ? | 1 Yes | 0 No |
Answer / baig
The profit arises only when there is an increase in owners capital, which is a result of excess of revenue over expenses and loss.
| Is This Answer Correct ? | 1 Yes | 15 No |
Computer value 5000 Deprecation 3000 Book vale 2000 Sold for 2000 Pass entry?
recently watched film narret the story.
1 Answers FactSet Systems, HCL, JPMorgan Chase,
definition of Accounts types of accounts debit and credit definition debit and credit rules accounting rules
Do you use social media to identify prospects?
Tell me how you can adjust entries into account?
what is the entry of tds when rent received for debtors ?
If salary paid per month Rs 40000/ I will deduct TDS from his salary, please what I do explain.(send Urgently)
How we will dabit profit & Loss a/c in tally because profit & Loss a/c is tally generated a/c. we have to make provision for tax.
ABC LTD PURCHASE GOODS FROM XYZ LTD OF Rs.400000/- BUT DURING THE TRANSPORTATION ALL GOODS ARE DESTROYED.ACCORDING TO AGREEMENT INSURENSE CO. PAID 75% OF DESTROYED GOODS TO SELLER. WHAT WILL BE JOURNAL IN BOTH PERSON ACCOUNT.
what are the adjustment entries?
what is the entry of arrears salary. but salary sheet is already finished.
1 Answers Active Freight Services,
what is the D.V.T. rate from 1/10/2009
Audit 
