Rogers Communications is a communications company,specializing in cable television operation,television program development,and other telecommunication services.Its financial statements show $37,666 in an account called "Deferred Subscriber Revenue," which represents amounts that customers have paid in advance of receiving cable television and internet services.What type of account is this and on what statement is it reported? $$\begin{array} { | l | l | l | }
\hline & \text { Type of Account } & \text { Financial statement } \
\hline \text { A) } & \text { Asset } & \text { Balance Sheet } \
\hline \text { B) } & \text { Liability } & \text { Balance Sheet } \
\hline \text { C) } & \text { Revenue } & \text { Balance Sheet } \
\hline \text { D) } & \text { Reverue } & \text { Income Staternent } \
\hline
\end{array}$$

Question

Rogers Communications is a communications company,specializing in cable television operation,television program development,and other telecommunication services.Its financial statements show $37,666 in an account called "Deferred Subscriber Revenue," which represents amounts that customers have paid in advance of receiving cable television and internet services.What type of account is this and on what statement is it reported? $$\begin{array} { | l | l | l | } 
\hline & \text { Type of Account } & \text { Financial statement } \
\hline \text { A) } & \text { Asset } & \text { Balance Sheet } \
\hline \text { B) } & \text { Liability } & \text { Balance Sheet } \
\hline \text { C) } & \text { Revenue } & \text { Balance Sheet } \
\hline \text { D) } & \text { Reverue } & \text { Income Staternent } \
\hline
\end{array}$$

Quizplus · Accepted Answer

Deferred Subscriber Revenue represents amounts that customers have paid in advance of receiving services. This is a liability as Rogers owes these services to its customers and has already received payment. It is reported on the Balance Sheet.

Rogers Communications Is a Communications Company,specializing in Cable Television Operation,television