deferred liability

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Deferred Liability

1. Money that a company receives from a customer as prepayment for some good or service. A deferred liability is listed on a balance sheet as a liability until the good or service is delivered. This is because the company would have to return the money if it does not keep its end of the bargain as promised. A deferred liability is also called a deferred credit or deferred revenue.

2. See: Past-Due Payment.

deferred liability

A liability that usually would have been paid but is now past due.
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This study found that changes in current deferred revenues ([DELTA]DRC) are positively associated with sales growth, gross profit margin, profit margin and return on assets of the next two years.
said its second quarter results included record highs in net revenues, deferred revenues, active clients and number of clients electing multi-year, non-cancelable service periods.
recognition of the remaining USD6, of deferred revenues will effectively reduce ProMetic's current liabilities by that amount.
Deferred revenues could represent upfront payments for services or products that have not yet been delivered, or payment for delivered goods or services sold as part of a multiple-element arrangement that cannot be accounted for separately from undelivered items included in the same arrangement.
Following receipt of the SEC staff comment letter and upon further examination of the manner in which the Company has historically accounted for the revenues associated with the lifetime acuity program, LCA-Vision determined that its accounting for deferred revenues was not appropriate under FTB 90-1 and resulted in an overstatement of revenues.
Our deferred revenues and cash from operations are at an all time high with strong contribution from Keynote SIGOS," said Gupta.
To date, growth in unrestricted net assets has been constrained by operating deficits and an adjustment to fiscal 2005's beginning net assets for a transfer of investments to the state's capital facilities matching trust and net unrecorded deferred revenues related to certain contracts and grants.
We believe the negative response to the quarterly results is slightly overblown, as the company's deferred revenues were up 17%, compared to 12% revenue growth.
If these customers assert their rights to these penalties, all or a portion of these deferred revenues may not be recognized.
Also of significant importance is the fact that deferred revenues, as reported on the balance sheet, increased to over $1.
Deferred revenues increased 1,700% sequentially from the previous quarter ending March 31, 2005 to $839,725 from $46,518; this represents a contractual revenue amount that is expected to be realized in forward looking quarters in accordance with PUBC's revenue recognition policies.
In addition, as at June 30, 2005 Visiphor has recorded deferred revenues of $671,578, which consist of cash received in advance of completion of projects currently in progress.