What is the difference between accrual and accounts payable? How can one distinguish these two?
Difference between accrual and accounts payable
Gena Sanford (Digital Marketing Manager) (34 Points)
04 November 2020Gena Sanford (Digital Marketing Manager) (34 Points)
04 November 2020What is the difference between accrual and accounts payable? How can one distinguish these two?
prasad Nilugal
( GST Practitioner & Accounts )
(14606 Points)
Replied 04 November 2020
Respected Madam
Accrual Accounting means recording of transactions of a particular Business entity , weather Revenue or Expense , received , paid in Cash or not in a particular accounting period .
Accounts payable is liability to pay expense to Trade creditors . Carried forward to next accounting period not if paid in the particular accounting period .
JATINDER KUMAR
(Accountant)
(3662 Points)
Replied 04 November 2020
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