In the Space Below,state Whether Each Situation Is a Deferral

question 245

Essay

In the space below,state whether each situation is a deferral or an accrual.
______
a.
Unrecorded interest on savings bonds is $765.
______
b.
Property taxes that have been incurred but that have not yet been paid or recorded amount to $1,034.
______
c.
Legal fees of $2,890 were collected in advance. By year end, 70 percent were still unearned.
______
d.
Prepaid Insurance had a $900 balance prior to adjustment. By year end, 25 percent was still unexpired.
______
e.
Salaries earned by employees by year end but not yet paid or recorded amounted to $1,655.
______
______ f. Services totaling $690 have been performed but not yet recorded or billed.

---

Definitions:

Work Standards

The established criteria or benchmarks used to measure the quality and efficiency of work performed.

Production Team

A group of individuals who work together in the manufacturing or creation process of goods or services.

Perishable

Refers to goods that have a limited lifespan or durability and therefore need to be consumed or used within a certain period before they deteriorate.

Common Standard

A uniform criterion or benchmark that can be widely used across different systems, organizations, or industries to ensure compatibility and efficiency.