Which of the following would not result in a credit to Deferred Revenue?
A)rent collected in advance from tenants
B)services performed on account
C)sale of season tickets to hockey games
D)sale of two-year magazine subscription

Question

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Deferred revenue is recorded when a company receives payment for goods or services that are to be delivered or performed in the future. Choices A, C, and D involve receiving payments in advance for services or goods to be provided later, which would result in a credit to Deferred Revenue. However, B) services performed on account, refers to services that have already been performed but not yet paid for by the customer, which would not result in a credit to Deferred Revenue but rather to Accounts Receivable.

Which of the Following Would Not Result in a Credit