On the balance day, the accrued expense of utility is treated as a current liability (accounts payable or accrued expense) owed to the utility company, and an expense (Utility Expense) incurred by the company in February. In the reporting period of March, the company should record its cash ...
Answer true or false: Recording an accrued expense would require crediting a liability account. Debits increase asset accounts and decrease liability accounts. True False When using the allowance method of accounting for uncollectible accounts, the entry to record the estimated bad debts expense is ...
Accrued salaries refers tothe amount of liability remaining at the end of a reporting period for salaries that have been earned by employees but not yet paid to them. ... The accrued salaries entry is a debit to the compensation (or salaries) expense account, and a credit to the accrued ...
What kind of account is salary expense in accounting? What type of account are wages and salaries payable? Who buys accounts receivable? What kind of account is a discount on bonds payable? In accounting, what is an adjusting entry?
Accrued payroll is compensation a business owes employees but hasn't paid out. See examples of how to calculate, record, and track accrued payroll here.
Salaries are not paid to employees until the end of the payment period. At the end of each recording period, a company should properly estimate the dollar amount for each of its accrued expenses, and then record it as an expense account with a corresponding payable/accrued expense liability. ...
An accrued expense is a cost that the company incurs but has not yet paid at the end of the accounting period. Examples of accrued expenses are: the cost of unused sick days, unpaid and accrued interest payable, utility expenses that get paid in the next month after use, etc. Download...
B.The normal account balance for an asset account is a debit balance. C.The normal account balance for an expense account is a debit balance. D.The normal account balance for a liability is a credit balance. 2 【单选题】(2分) What is the impact of debit entries? () A.Decrease ...
Accrued expenses are costs that a company has incurred during a financial period but has not yet paid by the end of that period, which can include salaries, rent, utilities, and other operational expenses. Properly managing these expenses helps maintain a healthy cash flow and working capital ba...
Debit Normal Balance:Asset accounts such as cash, accounts receivable, and inventory have a debit normal balance. Additionally, expense accounts like salaries, utilities, and rent also have a debit normal balance. When there is an increase in these accounts, it is recorded on the debit side. ...