Betriebskostenabgrenzungen

18:14 Mar 7, 2020 

...the fact that a "substantive difference" to an existing entry is expected may also not add much traction to your assertions (which may or may not be reasonable)...?

18:05 Mar 7, 2020 

Hey, but the asker did not ask for Periodenabgrenzung but only Abgrenzung. I understand you, the cut-off might describe it in an accountant-lingo and of course there are accruals of expenses. But ordinarily, and I have translated many reports and accounting documents that deal with what I call deferrals, it means the date and amount of a deferral if we are dealing with operating expenses. I personally havent come across an accrued operating expenses position, but many deferred ones. Operating expenses are rarely accrued, but I give you that, they may even be accrued, but the asker can determine that in line with her context Cheers

17:51 Mar 7, 2020 

You are right that this is about allocating expenses to the correct financial period. But I think your grasp of the terminology is hazy.

No context, admittedly, but we are most likely talking about Periodenabgrenzung. Anything else most likely be described in other terms - and wouldn't be either deferral or cut-off in English.

The process of Periodenabgrenzung in general is referred to in English using the word "cut-off" (no one said anything about a "cut-off date"). This is standard accountancy and auditing terminology, appears in international auditing standards (cited by me) and countless other places. You would most definitely use it in all formal contexts.

You say "expenses are deferred, income is accrued". Sorry, but that's so wrong it's almost offensive. Both income and expenses can be either deferred or accrued. This is basic stuff that you learn no later than week 2 of a basic bookkeeping course, so please look it up.

Re "costs": Germans like to distinguish Kosten from Aufwendungen, but we anglophones don't draw the same hard distinction, and it's quite OK to use "costs" and "expenses" interchangeably... Steve

17:20 Mar 7, 2020 

Hi Steve, I just wanted to explain why I think "cut-off date" doesn't cut it. If, say in an audit report, there is exactly this phrase the asker has quoted, then that would mean that the treatment of (at least some) operational expenses (not costs, the terminology simply doesnt support that choice) with respect to their allocation between financial years is either questionable or uncertain. That's what it would mean. But the "Abgrenzung" has - at least - two dimensions: the date (I give you your cut-off date) AND the amount. It follows that "cut-off date" doesnt cut it because it omits the amount of the operating expenses that are to be "deferred". I hope that explains it a bit better. There may even be more dimensions to "Abgrenzung", such as allocation between subsidiaries, etc. The Abgrenzung is a multi-dimensional concept that can include the date, the amount, the entity, the currency, the governing law, what have you.... Best, Dan

20:50 Mar 6, 2020 

If you want a word that covers the process of both deferring and accruing expenses, that word is "cut-off" - see suggestion below.

The underlying idea is sometimes referred to as the 'matching principle' - income must be recorded in the same period as the corresponding expense.

18:11 Mar 5, 2020 

I believe that both of the suggestions ("deferred operating costs" and "operating cost accruals") are correct and it depends on how these costs have been recorded/the time-frame.
Deferred and accruals are not synonyms and should not be used as such. Deferred expense is an asset on the balance sheet while accrued expense is a liability. As such it depends on whether the costs in question have been payed for in advance or are still owed and have been accrued.
The German "Abgrenzung" simply refers to recording costs within the time frame in which they are actually incurred but does not indicate whether prepaid or accrued in nature (so this can only be discovered by looking at the wider context). Two helpful sources:

https://www.bauprofessor.de/public/main/contlandingpage.aspx...

http://oer2go.org/mods/en-boundless/www.boundless.com/accoun...