Category: Bookkeeping

  • What is accrued revenue? Examples & how to record It

    It needs to recognize a portion of the revenue for the contract in each month as services are rendered, rather than waiting until the end of the contract to recognize the full revenue. Accrued revenue may be contrasted with realized or recognized revenue, and compared with accrued expenses. Suppose you run a SaaS company and […]

  • Accrual Accounting Concepts & Examples for Business

    Under cash accounting, income and expenses are recorded when cash is received and paid. In contrast, accrual accounting does not directly consider when cash is received or paid. In contrast, accrual accounting uses a technique called double-entry accounting. When the consulting company provided the service, it would enter a debit of $5,000 in accounts receivable […]