what is the difference between outstanding & accrued?
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Answer / vinay kumar g.v
There is an inter-relationship among the word accrued, due
and outstanding .
For example, if the person is getting a salary of Rs.30000/-
per month in an organization, every day Rs.1000 will be
"ACCRUING", for the end of the month the entire amount will
become "DUE", and after completion of that month it will
become an "OUTSTANDING SALARY" for the organization.
That outstanding salary is a current liability for the
organization.
Outstanding expenses and income will shown in the balance
sheet as current liability and current assets respectively.
But accrued expenses and income will not shown in the
balance sheet.
| Is This Answer Correct ? | 118 Yes | 25 No |
Answer / sharan
Accrued expenses are those expenses which are not yet paid because of the bill or the invoice not yet received from the vendor/supplier... But in case of outstanding expense you have received the bill or invoice from the vendor/supplier but you have not paid yet....
| Is This Answer Correct ? | 51 Yes | 8 No |
Answer / divya
outstanding exp is an expense which is incurred and needs
to be paid...whereas accrued exp is an exp which is accrued
but not paid..it can be carried forward for a longer
time,,,whereas outstanding exp cannot gbe kept outstanding
for a long period
| Is This Answer Correct ? | 59 Yes | 36 No |
Answer / mahesh kumar
outstanding means which any sum of amount which has not been
received or paid during the accounting period and,
Accrued means any sum of money which ca be accumulate by the
party , it also means that such type of income you have
earned but you have not collected at present...
| Is This Answer Correct ? | 10 Yes | 1 No |
Answer / ritika tiwari
outstanding income are those income which are due.i;e the due date has been arrived but payment not yet made...
accured are those which due date has not been arrived and payment still has to be made.. !!!!
these are sane in case of expense..!!!!! :)
| Is This Answer Correct ? | 10 Yes | 1 No |
Answer / mukund inamdar
To give a best example-
The Credit Card -
Assuming the billing cycle is 5th to 4th of every month, and if we check the usage on 25th of the month, we might see some amount which would be "Unbilled"... It is an accrued expense for us and an accrued income for the Credit Card company. On the other hand, on 4th the bill gets generated and you see XXX amount payable is "Due" and we would have a date which is due date to repay this.. however if we do not pay after the due date it becomes "Outstanding"
| Is This Answer Correct ? | 4 Yes | 0 No |
Answer / ullash swain
Outstanding- The exepenses which is due but not paid is called outstanding expenses.
For example- Electricity bill cycle date is 15 th march to 14 th April.So vendor would issue invoice after 14th April because electricity consumption on 14 th April would be include.In this case if payment not happened till 14 the April , we can treat it as an Outstanding expenses.
Accrued- The expenses which has been incurred but not accounted in the current month which is called accrued expenses.As invoice not received from the vendors we need to calculate the accrual days on basis of invoice bill cycle date.If accrued expenses has not been accounted in the current month then it will become a outstanding .
Example- In above example, Accrued expenses would be charge as 15 days for the month of march due to invoice has not been generated.
| Is This Answer Correct ? | 4 Yes | 3 No |
Answer / tamijuddin
For closing a financial year, all expenses related to March month, to be paid subsequently in April, are accrued and shown as a liability in the balance sheet. Corresponding entries debited to Expenses account will be accounted to give a clean Profit & Loss figure. Mostly all the utility bills such as Telephone, Rent, Water, electricity fall under this category. Whereas an outstanding expense is either a whole amount or part amount which could either be paid or written off as per the Company's decision.
| Is This Answer Correct ? | 1 Yes | 0 No |
Answer / dhaval
There is an inter-relationship among the word accrued, due
and outstanding .
For example, if the person is getting a salary of Rs.30000/-
per month in an organization, every day Rs.1000 will be
"ACCRUING", for the end of the month the entire amount will
become "DUE", and after completion of that month it will
become an "OUTSTANDING SALARY" for the organization.
That outstanding salary is a current liability for the
organization.
Outstanding expenses and income will shown in the balance
sheet as current liability and current assets respectively.
But accrued expenses and income will not shown in the
balance sheet.
| Is This Answer Correct ? | 11 Yes | 12 No |
Answer / lalitha lasya
'Accrued Expense' An accounting expense recognized in the books before it is paid for. It is a liability, and is usually current. These expenses are typically periodic and documented on a company's balance sheet due to the high probability that they will be collected.
| Is This Answer Correct ? | 1 Yes | 2 No |
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