accruals

This topic has 1 reply, 2 voices, and was last updated 9 years ago by Ken Garrett.

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June 3, 2016 at 12:11 am #318958
manni83
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I know that you should take the most recent bill or the bill from last year around the same time when it comes to accruals. But what if ur financials are on lets say December 20×2 (unfinished)the bill before December was October 20×2. I would accrue based on the October bill if i did not have any bill for December. Why edx tell me i should use the bill from Feb.20×3, after december 20×2? Is it because it says unfinished financial statements for December 20×2
June 3, 2016 at 10:37 am #319082
Ken Garrett
Keymaster
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The way you accrue depends on how long you can wait. If you want the FS out by end Jan you can’t wait for February invoice. The February invoice would probably be a more accurate approach as it covers the period you need to accrue for and can be time-apportioned.
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