Earned but uncollected revenues that are recorded during the adjusting process, with a credit to a revenue account and a debit to an expense account, are referred to as accrued expenses.

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Earned but uncollected revenues that are recorded during the adjusting process are referred to as accrued revenues, not accrued expenses. A credit is made to a revenue account and a debit to an asset account (usually Accounts Receivable), not an expense account.

Earned but Uncollected Revenues That Are Recorded During the Adjusting