Harry Company uses cleaning supplies on a daily basis. Under the accrual basis of accounting these supplies would be an expense of the period in which they are:

Question

Quizplus · Accepted Answer

Under the accrual basis of accounting, expenses are recognized in the period in which they are incurred, regardless of when they are paid. Therefore, cleaning supplies would be recognized as an expense in the period in which they are used by the company.

Harry Company Uses Cleaning Supplies on a Daily Basis