What is "unearned revenue"?

Answer by  Requin (290)

Unearned revenue is the term for when you are paid beforehand for a job that you are working on or an item you are going to deliver. For example, if you pay for a year long magazine subscription, the magazine classifies it as unearned revenue, because you haven't yet received every magazine that you've paid for.

Answer by  vicki94 (477)

Unearned revenue is revenue that a company or individual receives money for a service or product that hasn't been fulfilled. It is a current liability on the balance sheet.