Which of the following do not apply to unearned revenues?
A)May also be called deferred revenues.
B)Amounts received in advance from customers for future delivery of products or services.
C)Gift cards are an example.
D)Result from prepayments for concert tickets.
E)Amounts to be received in the future from customers for delivery of products or services in the current period.

Question

Quizplus · Accepted Answer

Unearned revenues are amounts received in advance from customers for future delivery of products or services. The option E contradicts this definition by stating that unearned revenues are amounts to be received in the future from customers for delivery of products or services in the current period. This statement does not accurately describe unearned revenues.

Which of the Following Do Not Apply to Unearned Revenues