Which of the following accounts is most likely to be associated with an accrued expense?
A) Depreciation expense
B) Salaries Payable
C) Unearned revenue
D) Accounts receivable
E) Service revenue

Question

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Accrued expenses are expenses that have been incurred but not yet paid. Salaries payable is an example of an accrued expense because employees have earned their wages but have not yet been paid. Option A is an example of a depreciation expense, which is a non-cash expense. Option C is an example of unearned revenue, which is a liability that occurs when a company receives payment for goods or services that have not yet been delivered. Option D is an example of accounts receivable, which is a current asset that represents money a company is owed by its customers. Option E is an example of service revenue, which is revenue that a company earns by providing services to its customers.

Which of the Following Accounts Is Most Likely to Be