What type of account is unearned revenue quizlet?

Settlement of accounts is the process of

Accrual Principle Article 57, paragraph a: Third category income is considered to be produced in the business year in which it accrues.Imputation of Expenses => Same criterion Expenses are recognized when the obligation to pay them arises, even if they have not been paid and cannot be considered as due.

Accrual Principle Given this particular situation, it is noted that, as a consequence of accrual, there need not necessarily be a correspondence or relationship between revenues and expenses, since they may well not have been paid or not have been collected and, even so, they must be paid or eliminated.

Accrual principleRTF N 0281222006 The concept of accrual implies that the substantial events generating the revenue and/or expense have occurred and that the commitment is not subject to any condition that might render it non-existent, since the substantial event generating the expense or revenue arises at the time when the obligation to pay it or the right to acquire it is generated, even if the actual payment has not been made at that date, which implies a reasonable certainty as to the obligation and its amount.

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