Accrual
The Accountant's Dictionary
Fri, Jun 19, 2026
An accrual records income earned or expenses incurred before cash is received or paid.
What Accrual means in business operations
Accrual is explained here in the context of real finance, payroll, HR, and ERP workflows. This definition is written for business users who need practical understanding that supports implementation, reporting, approvals, reconciliation, and policy decisions.
If you are reviewing related concepts, continue to the The Accountant's Dictionary, browse ERP articles on the Eprecus blog, or explore the Eprecus ERP platform overview.
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Accrual
An accrual is an accounting entry used to recognize revenue or expenses in the period they relate to, even if cash has not moved yet. Accrual accounting improves reporting accuracy by aligning transactions to the correct period.
Why it matters
Without accruals, financial statements can overstate or understate results and distort period performance.
How teams use it
Finance teams use accruals during month-end close to capture payroll liabilities, utilities, supplier invoices not yet received, and earned but unbilled revenue.
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