Accrual accounting is the GAAP-preferred practice of recording all revenues and expenses when they occur, even if payment has not yet been sent or received. In business, all financial transactions ...

Accounting method that records revenues and expenses when they are incurred, regardless of when cash is exchanged. The term "accrual" refers to any individual entry recording revenue or expense in the ...

Accountants often talk about booking an accrual journal entry or having to accrue a transaction, and if that is not your industry, you might wonder what they mean by this. In short, Accountants need ...

Accruals in accounting are income earned and revenue incurred that are recorded as transactions occur, rather than upon completion of payment or delivery. Accruals are the basis of the accrual method ...

Should small businesses use cash or accrual accounting? This question gets asked almost as much as “paper or plastic?” and “debit or credit?” While the IRS requires some companies to use accrual ...

An accrual rate is the interest percentage added to the principal of a financial product between payments. Learn how it applies to bonds, mortgages, and vacation time.

In 2010 the Internal Revenue Service (IRS) received nearly 2.5 million corporation income tax returns. Each of those corporations had to prepare a tax accrual account to determine how much they owed ...

Accrual accounting has the potential to improve governance, internal controls, and risk management within government and in public sector entities. The Cabinet last year approved a major shift in ...

Yarilet Perez is an experienced multimedia journalist and fact-checker with a Master of Science in Journalism. She has worked in multiple cities covering breaking news, politics, education, and more.

Opinions expressed by Entrepreneur contributors are their own. Should small businesses use cash or accrual accounting? This question gets asked almost as much as “paper or plastic?” and “debit or ...

Should small businesses use cash or accrual accounting? This question gets asked almost as much as “paper or plastic?” and “debit or credit?” While the IRS requires some companies to use accrual ...