An adjusting journal entry recording an accrual:
A)results in a better matching of revenues and expenses.
B)will involve a debit or credit to cash.
C)will affect balance sheet accounts only.
D)will most likely include a debit to a liability account.

Question

Quizplus · Accepted Answer

An adjusting journal entry for an accrual ensures that revenues and expenses are recorded in the period they are incurred, which results in a better matching of revenues and expenses.

An Adjusting Journal Entry Recording an Accrual