Discover how accruals affect company finances, with insights into the accrual accounting method, its applications, and examples illustrating its principles.

Companies record both income tax expense and income tax payable in journal entries. For companies that use the cash basis for both financial and tax reporting, income tax expense equals income tax ...

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 ...

Bookkeeping is one of the most important activities of successful owner-operators. The receipts and othe financial records you keep are used in a number of areas of your business -- income tax ...