For Deferred Income we have terms and definitions in 2 topics. The topics are Accounting and Accounting Terms.

Deferred Income (Accounting)

is that income for which the cash has been collected by the companybut have yet to be "earned". For examplea customer pays their annual software license upfront on the 1st Jan. As the company financial year-end is 31st Maythe company would only be able to record five months of the income as turnover in the profit and loss account. The rest would be accrued in the balance sheet as a "deferred" creditor.

Deferred Income (Accounting Terms)

Income received but not earned until all events have occurred. Deferred income is reflected as a LIABILITY.

Similar

Browse words that start with:

• De
• Def
• Defe
• Defer

Browse All Terms by First Letter

Term Search