Question

A salary owed to employees is an example of an accrued expense a. True b. False

Answer 1

An accrued expense in accounting is any liability that is accounted for before it's actually paid. So any money that an employee earned by doing their jobs is money owed to them and put down in the accounting ledger as an 'accrued expense'. True

Answer 2

a. True

An accrued expense is an expense that exists in the books before it is paid off and it's a liability. It's a periodic and documented expense, and they are the opposite of prepaid expenses. A salary owed to employees is an example of an accrued expense.