Using the accrual basis of accounting, a company recognizes expenses when they are paid.

Name: Using the accrual basis of accounting, a company recognizes expenses when they are paid.
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Using the accrual basis of accounting, a company recognizes expenses when they are incurred, not necessarily when they are paid. This means that even if the company hasn't paid for the expense yet, it will still be recorded as an expense in the appropriate accounting period.

Using the Accrual Basis of Accounting, a Company Recognizes Expenses