What is accrual?

The concept of periodicity refers to the obligations that a company has in terms of the results it obtains throughout the same accounting cycle or financial year. According to this definition of accrual, all companies will have to demonstrate and clarify all their income and expenses. In addition, in terms of accounting, accrual is included within the Generally accepted accounting principles.

On the other hand, the accrual guidelines are determined by the accrual principleTherefore, one of the most important characteristics of the accrual concept is that everything that is accrued during the same period will be recorded, regardless of when it has been paid or collected.

Elements of the periodification

The accounting accrual must compulsorily develop the following elements in your accounts:

  • Interest paid in advance
  • Interest cobrados for anticipantin
  • Anticipated income
  • Anticipated spendings

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