Financial Statements
Accrued Expense
Definition
What is Accrued Expense?
An expense recognised before the related cash payment is made.
Example in practice
How This Looks in Practice
Employee bonuses earned this year but paid next year are accrued.
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Related Terms
Financial Statements
Revenue
Income generated from selling goods or services before expenses are deducted.
Financial StatementsSales Growth
The percentage increase or decrease in revenue over a period.
Financial StatementsCost of Goods Sold
Direct costs attributable to goods or services sold during a period.
Financial RatiosGross Margin
Gross profit expressed as a percentage of revenue.