look at the attachment i have. also its asks for the principle of account A then B and also witch one made more in the first month. please hurry because its due today

Step-by-step explanation:

Accrual Accounting

By ADAM HAYES Updated November 27, 2021

Reviewed by JULIUS MANSA

Fact checked by KATRINA MUNICHIELLO

Guide to Accounting

ACCOUNTING BASICS

ACCOUNTING THEORIES AND CONCEPTS

ACCOUNTING METHODS: ACCRUAL VS. CASH

Accounting Method

Accrual Accounting

Cash Accounting

Accrual Accounting vs. Cash Basis Accounting

ACCOUNTING OVERSIGHT AND REGULATIONS

FINANCIAL STATEMENTS

CORPORATE ACCOUNTING

PUBLIC ACCOUNTING: FINANCIAL AUDIT AND TAXATION

ACCOUNTING SYSTEMS AND RECORD KEEPING

ACCOUNTING FOR INVENTORY

What Is Accrual Accounting?

Accrual accounting is a financial accounting method that allows a company to record revenue before receiving payment for goods or services sold or expenses are recorded as incurred before the company has paid for them.

In other words, the revenue earned is recognized on the company's accounting books regardless of when cash transactions have occurred. Accrual accounting is one of two accounting methods; the other is cash accounting. Cash accounting only records the revenue when the cash transaction has occurred for the goods and services.

KEY TAKEAWAYS:

Accrual accounting is an accounting method where revenue or expenses are recorded when a transaction occurs versus when payment is received or made.

The method follows the matching principle, which says that revenues and expenses should be recognized in the same period.

Cash accounting is the other accounting method, which recognizes transactions only when payment is exchanged.

good luck on your studies! : )

david edward.

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