Accrued ExpensesView Financial Glossary Index
Accrued Expenses are expenses that a company has incurred but has not yet paid in cash. Accrued expenses are generally current liabilities on the company’s balance sheet.
One example of an accrued expense is monthly interest on a loan that a company only pays annually. The accrued interest needs to be logged every month even when there is not a cash payment on the loan or interest.