MyRCloud Operations Coordinator Interview Questions and Answers

Accrual is an accounting method where revenue or expenses are recognized when earned or incurred, regardless of when payment is received or made.

• Accrual accounting is the opposite of cash accounting

• Accruals are recorded as adjusting entries in the general ledger

• Examples of accruals include interest expense, salaries payable, and accounts receivable

• The entry for an accrual involves debiting an expense account and credit

Contingency liability is a potential liability that may occur in the future based on certain events or circumstances.

• It is a liability that is not certain but may occur in the future

• It is based on certain events or circumstances

• Examples include lawsuits, warranties, and environmental cleanup costs