deferred income

deferred income definition - business

deferred income

Income received by a business but not yet reported as earned. For example, a business may receive payment for a service or a product that has not yet been delivered. Deferred income is treated as a liability until reported as income earned. Also called deferred credit.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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