Adjusting journal entries

deferred expense

paid for in advance, subsequently incurred

deferred revenue

cash received in advance of revenue being earned

accrued expense

incurred prior to be paid off

accrued revenue

revenue earned prior to the receipt of cash

deferred expense

When Nathaniel purchases supplies, they are initially recorded as an asset. Over time, as the company uses it supplies, it incurs supplies expense. This is an example of:

When a customer pays for a service, such as the painting of a house in advance, this is an example of:

deferred revenue

Wages are typically paid on a weekly or biweekly basis, so unless today is payday, at any given time employees will have worked prior to cash being paid to them. This is an example of:

accrued expense

On December 31 your company earns $2,400 for services rendered and has not yet been paid, this is an example of:

accrued revenue

another word for deferred expense

prepaid expense

another word for deferred revenue

unearned revenue

another word for accrued expense

accounts payable

another word for accrued revenue is

accounts receivable