difference between accrual,payable and provision

Question Posted / izhar

3 Answers
27901 Views
I also Faced
E-Mail Answers

Answers were Sorted based on User's Feedback

difference between accrual,payable and provision..

Answer / vinod k balasubramaniam

Accrual is made for the known expenses/Revenue - where in
the the liability to pay/receipt for either goods or
services is known in advance!

Example: Accrued Rent - Both Payable and Receivable as the
case may be!

Whereas, Provision is made on expenses/liability where we
are not sure about the exact outstanding! Provision on
expenses generally made based on either past figures or
invoices!

Example: Provision for Bad & Doubtful Debts, Provision for
Income Tax, etc...

Is This Answer Correct ?

54 Yes

3 No

difference between accrual,payable and provision..

Answer / jagadeesh

Accrual is income earned but not received or expenses
incurred but not spent. Provision is making provision from
the profit for a specified or known expense which is to be
met in unknown future.

Is This Answer Correct ?

24 Yes

2 No

difference between accrual,payable and provision..

Answer / a.santosh

Accrual is income earned but not received or expenses incurred but not spent. Provision is making provision from the profit for a specified or known expense which is to be met in unknown future.

Is This Answer Correct ?

3 Yes

1 No

Post New Answer

More Accounting AllOther Interview Questions

WHICH IS MORE RISKY TO A BANKER, A CASH CREDIT OR A LETTER OF CREDIT

0 Answers

what is business entity concept?

20 Answers

What is the Limitation of LTC expenses? or Dedcution allowed in a year.............

1 Answers

can anyone provide me the Balance Sheet Items & P & L Items with Accounting Heads with Accounting codes?

0 Answers ABC,

What is the accounting treatment in the hands of reciever of bonus share or share recived due to demerger or share split.

1 Answers

Choose the right answer when we send Credit note to the supplier we have to credit 1.purchases 2.supplier 3.Other income

2 Answers TATA,

we want all sbi previous questions papers in our e.mail krishna2043 on yahoo

0 Answers

Answered but misspelled pl correct RS.180000/-IS THE INCOME EXEMPTION LIMIT FOR (ANS.NEWMO)

1 Answers

Hi Im Arun D. I m short listed for Karnatka bank interview. Can anybody share ur experiences regarding Bank interview of karnatka bank which was held on dec for Clerical post. Please help me I f u can. thanx in advance

0 Answers Banking,

EXPAND___________IRDA

1 Answers

what is commerce?

2 Answers

what is mutualfund?

12 Answers Bank Of America, Banking, FactSet Systems,

For more Accounting AllOther Interview Questions Click Here