Additional Info

All the lessons on this site and much, much more...

Accounting Basics: Complete Guide

Available Now On

Get Your Degree!

Find schools and get information on the program that’s right for you.

Powered by

Subscribe to
The Student Accountant newsletter

Enter Your E-mail Address
Enter Your First Name (optional)

Don't worry — your e-mail address is totally secure.
I promise to use it only to send you The Student Accountant.


What is the Difference between Accrued Income and Accrued Expenses?

by Alfred
(Ho Chi Minh, Vietnam)

Ho Chi Minh City

Ho Chi Minh City

Q: Why does the Accrued Income effect the assets but Accrued Expenses is not? Both indicate that cash was paid or received later but why is that difference occuring?

Thanks for your explanation.

Accrued income is a debtor (someone owes you) which is an asset. Accrued expense is a creditor and liability (you owe someone else). See the lessons on accrued income and also the lesson on accrued expenses for a better understanding and full explanation of the concepts. You must understand the concept of the accrual basis of accounting, these lessons will help with that.

Click here to post comments

Return to Ask a Question About This Lesson!.

Enjoying this Website?
Help Support it with a Donation


Advertise on