Accrued Revenues Would Appear On The Balance Sheet As What?

Accounting Treatment Of Revenue Receivables On Statement Of Financial Position Or Balance Sheet

Accrued Revenues or Revenues Receivable would appear on the balance sheet as Current Assets on Assets side as these are earned by the business during the accounting period against which the payment is still not received from clients / customers.

As the company rendered the services but still the payment is not received, so the following adjusting entry is recorded as shown below:

                             Accrued Revenues a/c  XXX

 

                                                                  Revenues a/c  XXX

 

                                                (Revenues Accrued for the Period)

Accrued Revenues account is debited as it is earned by the company but accrued or it is receivable from clients against services rendered to them by the company / corporation during the accounting period. Revenue Account is credited as it is earned by the business for the period but still the payment is not received from client so it is recorded according to Accrual Basis of Accounting System.