Difference between deferral of expenses/revenue and accrued expenses/ revenue?

Q: What will be the result of prepayment of rent expense in adjusting entry?

A: The prepayment of rent expense is an asset for the company because this payment is made with respect…

Q: Under the matching principle, when are expenses recorded?

A: Accrual accounting: The method of accounting which recognizes revenues before they are received, and…

Q: What are accrued expenses and when are they recorded?

A: Expenses refer to the outflow of cash in exchange for goods and asset purchased or services received…

Q: Explain the difference between accrued and prepaid expenses with illustrative examples.

A: Accrued expenses are those expenses which have been incurred but not yet paid out. For example, a…

Q: Which of the following is not a typical example of an accrued expense? Wages Taxes Depreciation…

A: Accrued expenses are considered as current liabilities in books of accounts. These are the…

Q: Accrued expenses are :

A: Accrued expenses are expenses that are incurred for the particular period but has not been paid yet.…

Q: In accrual basis ,revenues are recognized when received and expenses when incurred Select one: O…

A: Accounting records are recorded in two ways, one Cash Basis accounting and the other Accrual Basis…

Q: What is the effect on income (overstated or understated), if the adjusting entries are notrecorded?

A: Adjusting entries: Adjusting entries are those entries which are recorded at the end of the year,…

Q: how to compare between prepaid expenses and unearned revenue?

A: The adjustment for deferred items are made at the end of the year.

Q: Classify each of the following items as revenues (R), expenses (EX), or withdrawals (W). Wages…

A: Financial Accounting:   It refers to the process of recording the financial transactions of the…

Q: Explain accrued expenses in detail .

A: In the above question we have asked to explain accrued expenses which is as below.

Q: What kind of account is Unearned Revenue?a. Liability accountb. Asset accountc. Expense accountd.…

A: The correct option is option “a”. Unearned revenue is not classified as an asset, owners' equity,…

Q: Classify each of the following items as revenues (R), expenses (EX), or withdrawals (W). Rent…

A: Revenues are the amount received from the sale of goods and services.  Expenses are the cost…

Q: adjusted total expenses?

A: Correct Answer is :- C 277,000

Q: What is the difference between accrued liabilities an unearned Revenue accounts?

A: Accrued Liabilities :— An expenses of a Business or an Organization incurred  during a specific…

Q: Net income or net loss is the difference between total revenue and total expenses over a specific…

A: Net income is the income earned by a business during a accounting period. Net income or loss is…

Q: Which of the following journals would correctly post an adjustment for deferred (prepaid) income?…

A: The journal entries are prepared to keep the record of day to day transactions of the business on…

Q: What type of account is Unearned Revenue?a. Assetb. Liabilityc. Revenued. Expense

A: Unearned revenue: Unearned revenue is also called as prepaid revenue.

Q: admiHII examples of what type of expense? a. selling expense b. miscellaneous expense c.…

A: As posted multiple independent questions we are answering only first question kindly repost the…

Q: What is the total net effect on income (overstated or understated) if the adjusting entriesare not…

A:

Q: An accrued expense can best be described as an amount Paid and currently matched with earnings…

A: Solution Concept Accrued expense Accrued expense means the expense that has already been incurred…

Q: Why is Profit and Loss Adjustment Account prepared? Explain.

A: There are following two reasons of why Profit and loss adjustment account is prepared;-  1.   To…

Q: What are the differences between assets and expenses

A: Definition of Assets: Properties or things owned by business

Q: In what way do revenues and expenses differ from each other?

A: The difference between income and expenses is simple: income is the money your business takes in and…

Q: Deferred expenses should be reported as O Expenses on the income statement O Income on the income…

A: Deferred expenses : It refers to the cost incurred but this is recorded as expenses on a future…

Q: Why are adjusting entries necessary under accrual-basis accounting?

A: The accrual basis of accounting states that expenses are matched with the related revenues . And are…

Q: What type of account is accrued income

A: Accounting's goals include keeping a systematic record of all financial transactions in a book of…

Q: is prepaid reant an expense

A: Prepaid expense:Prepaid expense is the advance payment for future expenses is called as prepaid…

Q: Does the deductibility of an expense or loss follow accounting practice?

A: The accounting practice is the practice of recording the day-to-day financial transactions of the…

Q: An accrued expense is an expense that :

A: The expenses to be adjusted in income statement are prepaid expenses and outstanding or accrued…

Q: What is the difference between assets and expenses?

A: Assets and expenses are two different elements of the financial statements of an entity. Assets…

Q: Classify each of the following items as revenues (R), expenses (EX), or withdrawals (W). Rental…

A:

Q: Theseransactions which are related to revenue or expense recognition, identify whether they are are…

A: Accruals: Accruals are the revenues that are earned but not received, and expenses that are incurred…

Q: How do modifying entries relate to the difference between cash accrual accounting and the difference…

A: Introduction : All cash transactions must be converted into accrual accounting for adjustment…

Q: Differentiate using an example company’s primary revenue and secondary revenue, company’s primary…

A: Revenue refers to the funds generated by an entity through its direct or indirect business…

Q: What is the liability created by receiving revenue in advance called (before it is actually earned)?…

A: Revenue receipts in     Advance is shown as unearned revenue.

Q: Why are revenue and expense accounts called temporary or nominal accounts?

A: Accounting: Accounting is a system, or a process of collecting and organizing economic transactions,…

Q: Which are the total interest expense in the statement of profit or loss?

A: Interest expense is the finance cost which is deducted from operating profit i.e. earnings before…

Q: What type of account is Unearned Revenue?

A: The question deals with what type of account is Unearned Revenue

Q: whats the difference between an expense and liability according to accounting?

A: Accounting: Accounting is defined as recording, summarizing and classifying the financial…