Deferred revenue is received now for work to be delivered later

March 11, 2015

Balance sheet relationships: Deferred Revenues are monies received now for work to be delivered later on. Some organizations track deferred government grants separately from other deferred revenues such as ticket subscriptions and prepaid facility rentals. If all is well, your cash balances will exceed the deferred amount, meaning that your deferred revenues are safely held for the point when you’re fulfilling the work to be done.

Published On: March 11, 2015Categories: Bookkeeping, ManagementTags: ,