Deferred Revenue Occurs When Cash Is Received from a Customer

question 36

True/False

Deferred revenue occurs when cash is received from a customer before work or the sale is completed.

---

Definitions:

Mission

The fundamental purpose of an organization, stated in a way that captures its goals, underlying philosophies, and core values.

Strategic Formulation

The process of defining a company's strategy or direction based on setting goals, analyzing the competitive environment, and assessing internal resources.

Long-Range

Refers to planning, goals, or strategies extending far into the future, typically focusing on periods longer than five years ahead.

Environmentally Responsible

Commitment to conducting oneself or one's business in a way that is mindful of the environmental impact and promotes sustainability.