What Is Accrued Income?

Accrued income is also referred to as income receivable, which refers to various collections that have been realized (earned) during the accounting period but have not yet received money, such as interest receivables and rent receivables. The adjustment of accrued income should increase revenue on the one hand, and add assets (debt) on the other hand. After the revenue is recognized, it will be transferred to the profit of the year account at the time of settlement, and the assets will be transferred to the next period, pending receipt of funds Write off when necessary. ^[1]

Accrued income

Right!

Accrued income is also referred to as income receivable, which refers to various collections that have been realized (earned) during the accounting period but have not yet received money, such as interest receivables and rent receivables. The adjustment of accrued income should increase revenue on the one hand, and add assets (debt) on the other hand. After the revenue is recognized, it will be transferred to the profit of the year account at the time of settlement, and the assets will be transferred to the next period, pending receipt of funds Write off when necessary. ^[1]

English: accrued revenue or revenue receivable

Those that have been obtained or realized at the end of the accounting period (already earned, products and services have been provided, that is, income has been realized in the current period), but have not yet received payment and unaccounted operating income, and also recognize the outstanding payment as debt . For example, the income from receivables for packaging, the long-term or short-term investment income from receivables, the interest income from bank deposits, and the income from leased fixed assets.

Chinese name

Accrued income

Foreign name

accrued revenue or revenue receivable

Types of

noun

Field

economic

Accrued income refers to income for the period in which the company has provided goods or services and has not yet received cash and has not recorded it. All income due in the current period, although no cash has been received, must be recognized when calculating the current profit and loss. Therefore, at the end of the period, the accounting adjustment method should be applied. On the one hand, the income receivable attributable to the current period should be registered and included in the income statement. At the same time, the right to receivables of unreceivables should be recognized as receivables and included in assets and liabilities table.