Accrual expense double entry
janice_www
Registered Posts: 1
Hi, I am confusing with the accrual expense. I don't understand how to show the accrual expense in the double entry with that £1,995 for the end of the year?
As my understanding, the £1330 should bought down to next finance year, but why the answer is 665?
As my understanding, the £1330 should bought down to next finance year, but why the answer is 665?
0
Answers
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The invoice for the quarter ending 31 May 20X7 only needs for one month to be accrued (that is the period 1st to 31st March).
As the invoice was for £1,995, you just divide it by 3 which comes to £665.0
