Accounting method that records revenues and expenses when they are incurred, regardless of when cash is exchanged. The term "accrual" refers ... An excellent example is a sale on credit.

In other words, a business that practices accrual accounting records all revenue as soon as it is invoiced and all expenses as soon as they are incurred, regardless of when the actual cash ...

For example, a small business that uses ... The key difference between the cash basis and accrual method accounting is the timing of when the transactions are recorded. Small businesses or ...