An accrued expense such as Wages Payable can best be described as an amount:
A)Paid and not currently matched with earnings.
B)Not paid and not currently matched with earnings.
C)Not paid and currently matched with earnings.
D)Paid and currently matched with earnings.

Question

Quizplus · Accepted Answer

An accrued expense such as Wages Payable represents a cost that has been incurred but not yet paid. However, it has already been matched with earnings, meaning that the expense has been recorded in the appropriate period even though payment has not yet been made. This is because the expense relates to work that has already been performed, and thus it should be recognized in the period in which it was incurred.

An Accrued Expense Such as Wages Payable Can Best Be