QUESTION IMAGE
Question
unearned revenue is:
select one:
○ a. equity
○ b. an asset
○ c. revenue
○ d. liability for cash received before service
Brief Explanations
Unearned revenue represents cash received in advance for goods or services not yet provided. By accounting principles, this creates an obligation (liability) to fulfill the service or deliver the product in the future, so it is classified as a liability.
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d. Liability for cash received before service