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deferred revenue is the unearned income. it is known under the accrual basis and according to the revenue recognition concept as a liability till it is recongnised.
examples are the advance payment for goods and services like in the maitenance contracts
It is that class of revenue expenditure which is
incurred during a particular year but benefit of which may extend to a number of
years. The whole amount of such expenditure cannot be treated as the expenditure of
the year in which it is incurred. Therefore a portion of such expenditure is charged every year to profit and loss account and remaining portion is shown on the asset
side of the balance sheet.
Deffered revenue expenditure is an expenditure from which benefits will accrue over a period of more than1 yr. eg - heavy advertisement exp on launch of a new product. it is usually written of over a period in which the benefit will accrue