# Accrual basis

> Accrual basis — Recognizing revenue when earned and expense when incurred, regardless of when cash moves.

Source: https://lopifi.com/glossary/accrual-basis
Part of: Lopifi — US GAAP books on autopilot, reviewed by a CPA (https://lopifi.com)

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**What is accrual basis?** In accounting, accrual basis means recognizing revenue when earned and expense when incurred, regardless of when cash moves.

## Words this system refuses for it

- the accrual method

- **Category:** Foundations
- **Specified in:** [Lexicon](https://lopifi.com/md/docs/domain/11-lexicon)
- **Rendered by:** [statement-toolbar](https://lopifi.com/md/components/statement-toolbar)
- **Related:** accrual, expense, revenue, basis