Deferred Revenue


  • Id: bs_lt_deferred_revenue
  • Type: fundamentals
  • Subtype: balance_sheet
  • Units: currency
  • Decimal Points: 0
  • Currency Convertible: Yes
  • Tags: “deferred revenue”, “unearned revenue”, “revenue received in advance”, “liability for undelivered goods or services”, “prepaid revenue”


The amount of money that a company receives in advance for goods or services that have not yet been delivered or performed. Deferred revenue is recorded as a liability on the balance sheet, because it represents an obligation to the customer that has not been fulfilled. Deferred revenue is recognized as earned revenue on the income statement as the goods or services are delivered or performed over time.