What type of accounting recognizes revenues and expenses in the same accounting period that cash receipts and payments occur?

Question

Quizplus · Accepted Answer

The cash basis of accounting recognizes revenues and expenses in the same accounting period that cash receipts and payments occur. This method does not take into account any unpaid bills or revenues that have been earned but not yet received. It is a simple and straightforward method, but it may not accurately reflect the financial position of the company in the long term.

What Type of Accounting Recognizes Revenues and Expenses in the Same