Three of these transactions will result in an expense using accrual-basis accounting.
They are - 1) Pay workers' salaries for the current period. 2) Pay rent in advance. 3) Pay dividends to stockholders in the current period.
Accrual accounting is a financial accounting method that allows a company to record revenue before receiving payment for goods or services sold or expenses are recorded as incurred before the company has paid for them.In other words, the revenue earned is recognized on the company's accounting books regardless of when cash transactions have occurred.
The general concept of accrual accounting is that economic events are recognized by matching revenues to expenses at the time when the transaction occurs rather than when payment is made or received. This method allows the current cash inflows or outflows to be combined with future expected cash inflows or outflows to give a more accurate picture of a company's current financial position.
To learn more about accrual accounting here
https://brainly.com/question/13464862
#SPJ4
