When your business uses accrual accounting, expenses are recognized when a product or service is used instead of when it is paid for.. For example, your business may hire a cleaning crew quarterly to ...

From the purchase of office supplies to the salaries and wages a company pays to its employees, all business expenses must be recorded on a company's books. An expense accrual is the means by which a ...

Thanks to accrual basis accounting, many expenses appear on the balance sheet before money changes hands. The company records these expenses, called accrued expenses, in the period they occur. They ...