Adjustment no.3 Deferred Income - Grade 10, 11, 12

Module 10 in New Era for Accounting students who are busy with Adjustments in the Financial Statements. This is a simple explanation of Deferred Income and how it is handled. Also known as Income Received in Advance. This is a Liability which is created for the purpose of the Matching (GAAP) principle. Remove any entries which is relevant for the NEXT financial year. Grade 10, Grade 11, Grade 12 would benefit from understanding the adjustments.