Enterprise glossary and term center

Research and understand all the intricate terms and definitions that surround the ecosystem of enterprise resource planning (ERP), enterprise software and no-code tools.

Accrual - What is an example of an accrual?

An example of an expense accrual involves employee bonuses that were earned in 2019, but will not be paid until 2020. ... Therefore, prior to issuing the 2019 financial statements, an adjusting journal entry records this accrual with a debit to an expense account and a credit to a liability account.