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Unearned income is a liability until it is earned and is listed under liabilities under on the Balance Sheet.
The reason it is a liability is because it is money that you have receive but have not yet earned, therefore you as a company "OWES" something.
Example: Your company receives and order for $5,000 in watches, but you won't ship the watches until later. You must list the $5,000 as Unearned Income because you have the Income but you haven't earned it and you now have an obligation to the purchaser to either 1. complete the order and ship the watches or 2. refund the purchase price.
Wiki User
∙ 11y ago
Wiki User
∙ 10y agoUnearned rent is not a part of income statement rather it is a part of balance sheet and it is shown under liability side as it is that revenue which is not yet earned by company.
Wiki User
∙ 12y agoUnearned Rent would be a liability on the Balance Sheet. Assuming the rent would be earned within the next 12 months, it would be considered a Current Liability.
Wiki User
∙ 11y agobalance sheet
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Where does unearned service revenue go on a multiple step income statement?
unearned service revenue is on the balance sheet not the income statement so the answer is nowhere. service revenue is on the income statement under revenues.
Does unearned revenue go in the income statement?
No, it goes on the balance sheet as a liability.
Where does rent revenue go on an income statement?
Rent revenue appears under the Non-Operating Revenue Section on the income statement.
Do unearned fees go into an income statement?
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!)
Where does other or rent revenue go on the income statement?
Other or rent revenue is also revenue which is not from basic operations of business that's why this revenue is shown as other revenue in income statement.
Does rent revenue go on a balance sheet or income statement?
If Rent Revenue is shown in income statement but if that revenue is still receivable in accrual accounting system then it will shown under balance sheet at asset side as well.
Does fees earned go on an income statement?
income statement
Does work in progress go on an income statement?
work in progress will not go on in income statement
Where does accrued revenue go on the income statement?
An expense such as rent, utilities, insurance goes on the income statement because it is an expense that occurs to operate the business and it affects the net income of said business. If I have an income of $15,000 and I paid out expenses of $10,000 my net income is $5,000.
Where do rent received go in the income statement?
If rent received is of this financial year it enters in the I/S under Revenues. If it is prepaid, the amount prepaid is deducted and entered in the SOFP under Current Liabilities as Prepaid Rent Receivable
What financial statement does transportation in go on?
INcome Statement
Does Section 8 housing vouchers count as part of your unearned income when verifying your income for child support?
No. Your local Housing Authority, under the Voucher Program, is paying benefits to your Landlord known as Housing Assistance Payments, or HAP, which does not go to you. In some states it is considered a source of income ONLY for the purposes of your rent. Many landlords have requirements that your income is at least three times the amount of rent. Since the Voucher guarantees that some or most of your rent will be paid by the Government, the landlord must consider that part your income for these purposes. However, in cases where you must list your rent as part of your expenses, you must list how much you actually pay in rent, not the actual rent, if you are receiving assistance via your Voucher.
