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Vsevolod [243]
2 years ago
13

Define accrued liability. What is an example of an accrued liability?

Business
1 answer:
solong [7]2 years ago
3 0

Accrued liabilities represent expenses incurred by a company over a period of time but not yet claimed. There are two types of resets: regular/regular and occasional/non-regular.

A journal entry is recorded for the contingent liability, with a credit to the accrued liability account and a debit to the liability-related expense account.

The regulation states that a contingent liability should be recognized in an account when it is probable that a future event will occur and the amount of the liability can be reasonably estimated. This means that a loss is recognized (debit) and a liability is created (credit) before settlement.

Learn more about liability here:brainly.com/question/25012970

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