Income is reported to the extent it is earned, regardless of when the cash is received. This may require either an accrual or deferral. Similarly, expenses are reported to the extent they are incurred during the year, regardless of when invoiced or paid. This also may require accrual or deferral of expenses. The Campus Controller provides guidance through fiscal closing instructions to departments specifying the procedures to be followed on each campus to ensure transactions are reported on an accrual basis as of June 30.