Question { Northern Trust, 20871 }

what is accrual basis of accounting?explain in detail?

Answer

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...

Question { Capital IQ, 2203 }

​differed revenue expenditure

Answer

Deffer means to postpone..
so deffer revenue expenses are the expenses which are deffered for the time being from charging to P&L A/c.
eg. prepaid expenses