When unearned revenue increases:
A) cash increases.
B) an expense increases.
C) revenue increases.
D) None of the above.

Question

Quizplus · Accepted Answer

Unearned revenue is a liability account that represents money a company has received in advance for goods or services it has not yet provided. Therefore, when unearned revenue increases, it means the company has received more money from its customers, which increases cash.

When Unearned Revenue Increases