Chapter 6 Flashcards
1
Q
What is deferred income?
A
Income received in the year, but relates to next year.
2
Q
What is the double entry for deferred income?
A
Dr Sales
Cr Deferred Income (SFP)
3
Q
What is accrued income?
A
Income that relates to the year, but has not yet been received.
4
Q
What is double entry for accrued income?
A
Dr Accrued Income (SFP)
Cr Sales
