Amounts received before they are earned are called

Name: Amounts received before they are earned are called
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Amounts received before they are earned are called unearned revenues or deferred revenues. This refers to payments received by a company in advance for goods or services that will be provided at a later date. These payments are initially recorded as a liability on the company's balance sheet until the goods or services are delivered, at which point they become revenue.

Amounts Received Before They Are Earned Are Called