Under accrual accounting, transactions are recorded only when cash is received or paid.

Name: Under accrual accounting, transactions are recorded only when cash is received or paid.
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Under accrual accounting, transactions are recorded when they occur, regardless of when cash is received or paid. This means that revenue is recognized when it is earned, even if payment is not received yet, and expenses are recognized when they are incurred, even if payment has not been made yet.

Under Accrual Accounting, Transactions Are Recorded Only When Cash Is