Opening a wholesale business selling entertainment equipment to retail outlets , customers want to buy on credit extend which can be accounted on the basis of accrual concept of accounting.
Credit extension to the worthy consumers helps to increase sales and make allowances for trust and better purchases in the near future. Retail outlets generally use this scheme so that the goods and services of the shop are sold easily.
The maintain of the statements and account of credits can be done on the basis of accrual basis as it would help to extend credit easily and keep an account to the liable person to pay in future.
To learn more about accrual concept here,
https://brainly.com/question/13464862
#SPJ1
