Is unearned revenue an expense
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Is unearned revenue an expense
No, Unearned Revenue is where someone pays in advance for a service or goods will be provided at a later date. An example is a subscription where you purchase a one year subscription to a magazine and you receive your magazines on a monthly basis. You have unearned revenue when the payment is made for the subscription and as the magazines are delivered a portion of the unearned revenue becomes earned.
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