An accrued liability is a current liability and it arises as a result of work performed and acknowledged by CSC but for which invoices are not yet due and for goods provided and services rendered for which an invoice has not yet been received. Accrued Liabilities In this article we provide the Meaning of Accrued Liabilities with Example.If you like this article then please like us on Facebook so that you can get our updates in the future...and subscribe to our mailing list ” freely “
Meaning of Accrued liabilityAccrued expenses mean the liability which have been already occurred (incurred) but incurred that has not yet been paid nor recorded through a regular transaction. Expense should be accounted in the accounting period in which it is actually incurred as per one of the basic accounting concepts "Accrual". So rather than waiting for the next period in which the actual cash outflow will be there, they should be booked in financial statements in the year of occurrence itself. Accrued expenses are the opposite of prepaid expenses.
credit..............Expenses payable a/c