Expenses incurred during an accounting period but that, before end-of-period adjustments, remain unrecorded because payment is not due are referred to as accrued expenses.

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Accrued expenses are expenses that have been incurred during an accounting period but have not yet been paid or recorded in the accounting records. They are recorded through end-of-period adjustments to ensure that expenses are matched with the revenues they help to generate, in accordance with the matching principle of accounting.

Expenses Incurred During an Accounting Period but That, Before End-Of-Period