Unearned Fees appear on the
A)balance sheet in the current assets section
B)balance sheet as a current liability
C)balance sheet in the shareholders' equity section
D)income statement as revenue

Question

Quizplus · Accepted Answer

Unearned fees are payments received by a company for services that have not yet been rendered. As such, they are a liability because the company has an obligation to provide those services or to return the payment. Therefore, unearned fees appear on the balance sheet as a current liability.

Unearned Fees Appear on the