Where there is an increase in an accrual,the amount of the increase is included as a revenue on the income statement

Question

Quizplus · Accepted Answer

An accrual is a liability or an expense that has been incurred but has not yet been paid for or recorded in the financial statements. Therefore, an increase in an accrual would not be included as revenue on the income statement. It would be recorded as an expense or liability depending on the type of accrual.

Where There Is an Increase in an Accrual,the Amount of the Increase