Companies handle accrued expenses by making adjusting entries to the general journal. [title] Understand why you need to accrue expenses.
[header] How to accrue an expense [title] Understand what an accrued expense is. [step] An accrued expense occurs when an accounting period is coming to a close and there are unpaid expenses and unrecorded liabilities. For example, wages that have been earned but not yet disbursed would represent an accrued expense.