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Hello.. In what circumstance liability can be income, explain and vivid example ?

In what circumstance liability can be income tell us with vivid example

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تم إضافة السؤال من قبل IDAROUS YUSSUF SAID SAID , Assistant Accountant , Islamic Bank of Zanzibar Limited
تاريخ النشر: 2021/05/01
IDAROUS YUSSUF SAID SAID
من قبل IDAROUS YUSSUF SAID SAID , Assistant Accountant , Islamic Bank of Zanzibar Limited

Answer: Most this happen when company do prepaid of any that will obiligate to pay,

so when you prepare financial report that amount was paid but not yet  get service /goods/ used will be calculated as INCOME OF COMPANY. EG Prepaid rent for business operation.

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