Increasing expense accruals, or accrued expenses, helps companies conserve cash at the time they incur an expense. Using accrual-basis accounting, companies record expenses when incurred but don't ...

Accrual basis accounting records revenue once the source transaction is complete, once its numerical value can be calculated and once there is no doubt that the sum can be collected. Furthermore, ...

Accrual accounting is one of the primary accounting methods and is based on the matching principle, which dictates that revenues and their associated expenses be recorded in the same accounting period ...

Relatively early in a law firm's existence, a decision is required concerning whether to report financial activities to the Internal Revenue Service on a "cash" or "accrual" accounting basis.

In simple terms, a company can report profits but still run out of cash -- and when that happens, even the most successful ...

Recently the Sunday Edition of the Washington Post had the following headline, "Region's Builders Rein in Visions- With Real Estate Downturn Projects Scaled Back, Scrapped." Lenders are tightening ...