The over accrual was not recognized until getting the bill after the month was closed.?

Question

accrued 20000 in may for utilites / books are closed/ in june the actual bill comes in and it is for 15000. the original accrual is reversed in the month of june. the balance ledger is -5000.

doing the accrual for the month of june the projected is 15000 and the net of the over accrual reversal and the june projected is 10000. should a 5000 $ adj be completed in june to offset this over accrual in may

Answer 1

I'd say yes.  If you expensed $5,000 too much in May, then you should probably offset by reducing your expense in June.  The entry would be to debit the accrual by $5,000 and credit utilities expense by $5,000.