Interview Question

Associate Accountant Interview

-Phoenix, AZ


The recruiter always asks: tell me what the difference is between cash and accrual accounting, but the interviewer has no knowledge of acounting so it's pointless getting into detail.

AnswerAdd Tags

Interview Answers

4 Answers


The difference between accrual and cash basis accounting is in the timing of when revenue and expenses are recognized. The cash method is more immediate recognition and accrual method focuses on anticipated revenue

Anonymous on


The difference between cash and accrual is cash you paid immediately cash for items acquired. Accrual means you set up transactions as a contract debiting receivable and credited liability accruing cost and recognized expense or revenue when you bill customer or collect money.

Cynthia Dutch on


Also it's keeping track of what price it was

Kate on


Cash method is not part of GAAP probably would've sufficed

bob on

Add Answers or Comments

To comment on this, Sign In or Sign Up.