Session 7: Financial Reporting and Analysis: An Introduction
Reading 30: Financial Reporting Mechanics
LOS d: Explain the need for accruals and other adjustments in preparing financial statements.
Which of the following is the least likely to be considered an accrual for accounting purposes?
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A) |
Accumulated depreciation. | |
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Accruals fall into four categories:
1. Unearned revenue.
2. Accrued revenue.
3. Prepaid expenses.
4. Accrued expenses. Wages payable are a common example of an accrued expense.
Accumulated depreciation is considered a contra-asset account to property, plant and equipment, not an accrual. | 
发表于 2011-3-12 10:29
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