alleryAccrued commission earned is:
ALiability on Balance Sheet
BDirect trading expense
CReduction from capital
DAsset on Balance Sheet
Answer & Solution
Correct answer: D. Asset on Balance Sheet
1. Accrued income is income earned but not yet received.
2. It is a current asset at year end.
3. Added to P&L credit as part of the period's income.
_Source: ICAI BoS Foundation Paper 1, Ch 7 U1 "Final Accounts", §1.2 ¶5_
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