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Accrued Income
It may so happen that we may earn some incomes during the current accounting year but not
receive them in the same year. Such income is accrued income. Thus, these incomes pertain to
the current accounting year. Therefore, we need to record them as current year’s incomes.
The Journal entry to record accrued incomes is:
(33)
Cash at bank - cash book and bank reconciliation statement
A bank reconciliation statement is a document that compares the cash balance on a company’s
balance sheet to the corresponding amount on its bank statement. Reconciling the two accounts
helps identify whether accounting changes are needed. Bank reconciliations are completed at
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