The main difference between accrual and cash basis accounting is the timing of when revenue and expenses are recognized.
The cash method accounts for revenue only when the money is received and for expenses only when the money is paid out.
The accrual method accounts for revenue when it is earned and expenses goods and services when they are incurred. The revenue is recorded even if cash has not been received or if expenses have been incurred but no cash has been paid.
No, Financial Edge software only uses full accrual based accounting,.