Which of the following accounts would be used under the accrual method of accounting, but NOT under the cash- basis method of accounting.
A)Unearned revenue
B)Salary expense
C)Cash
D)Equipment

Question

Quizplus · Accepted Answer

Under the accrual method, unearned revenue is recorded when payment is received before services are performed, which is not recognized under the cash-basis method until the service is performed.

Which of the Following Accounts Would Be Used Under the Accrual