No it is a current liability and is not included in the Income Statement, as other revenues would be.
asset
yes
Unearned revenue is liability until it is earned and shown under liability side of balance sheet.
No. It's a liability account.
Not right away. When you record unearned fees or revenue it only hits the balance sheet. Ex: Debit- Cash or AR (Asset Account) Credit- Unearned Revenue (Liability) It is a liability until the revenue is earned in which case you then Debit: Unearned Revenue Credit: Revenue/Sales Account (finally and income statement account!)
Yes, unearned rent is considered a liability rather than an asset. It represents rent payments received in advance for which the service has not yet been provided, indicating an obligation to deliver future rental services. As the rental period progresses and the service is rendered, the unearned rent is recognized as revenue, reducing the liability.
Debit to Cash (asset) Credit to Unearned Revenue (Liability)
Revenue
Unearned Revenue is a Liability Account
credit to unearned revenue
What types of industries have unearned revenue? Why is unearned revenue considered a liability? When is the unearned revenue recognized in the financial statements Is a church a company that could have unearned revenue?
Unearned Revenue is a liability account.