Which of the following is not an accrual?
A)Crediting wages payable for wages earned to date.
B)Debiting interest receivable for interest earned to date.
C)Debiting interest expense for interest incurred to date.
D)Debiting depreciation expense for depreciation incurred during the period.

Question

Quizplus · Accepted Answer

Accruals involve recognizing revenues and expenses that have been earned or incurred but not yet recorded. Depreciation expense is not an accrual; it is an allocation of the cost of a tangible asset over its useful life, not a recognition of an expense incurred or revenue earned within the period.

Which of the Following Is Not an Accrual