Why do we sometimes record a revenue or expense as a deferred item? Wouldn't it be easier

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Why do we sometimes record a revenue or expense as a deferred item? Wouldn't it be easier to always record revenue to a revenue account and remove any unearned revenue at year-end?

Related Book For answer-question

Accounting Theory Conceptual Issues in a Political and Economic Environment

ISBN: 978-1412991698

8th edition

Authors: Harry Wolk, James Dodd, John Rozycki

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Posted Date: Jan 23, 2021 08:02 AM

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Why do we sometimes record a revenue or expense as a deferred item? Wouldn't it be easier

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Expert Answer:

Deferred means to postpone or delay items We will be moving items that have already been record in our books We will move a liability to revenue or an ... View the full answer

Accounting Theory Conceptual Issues in a Political and Economic Environment

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