Accrued, in accounting, refers to the recognition of expenses and revenues that have been incurred or earned but not yet recorded in the financial statements. This concept ensures that financial activities are reported in the period they occur, aligning with the accrual basis of accounting. The accrued definition in accounting is crucial for accurate financial reporting and reflects obligations or receivables that will be settled in the future.
Get Your FREE Exam Secrets Cheat Sheet!
Plus a 3-Part CMA Video Course
82,000+ accounting and finance pros got their free CMA cheat sheet.
Get yours too, today!