what is deferred revenue expenditure?
Answers were Sorted based on User's Feedback
Answer / surya
It is expenditure paid in present year
but it will effect on future also
Ex: heavy advertising expenditure
Is This Answer Correct ? | 22 Yes | 4 No |
Answer / raj
It is an expenditure which are basically in the nature of
revenue expenditure whose benift cover a number of years
called deferred revenue expenditure.
ex; advertisement...............and sales
promotion..............
Is This Answer Correct ? | 16 Yes | 1 No |
Answer / aravind
It is an expenditure the benefit of which will be realised
over a period and not during the current period.Ex-Heavy
Advertisement expenditure incurred by the company for
promoting the product.The benefits of this huge expenditure
will be realised over the period and not in the same period
when it is incurred.
Is This Answer Correct ? | 15 Yes | 0 No |
Answer / s.srinu
Deferred revenue expenditure means during the accounting
may give benefits for several years in future is called as
deferred revenue expenditure e.g. Advetisement
Is This Answer Correct ? | 8 Yes | 0 No |
Answer / arjunanag@rocketmail.com
it is one type of expenditure. we spent more money in
present year but we get benefit more years. that's are
called deferred revenue expenditure. ex: heavy advertisement
Is This Answer Correct ? | 8 Yes | 1 No |
Answer / rajesh kumawat
deferred revenue expenditure means during the present year
we expend heavy money and will get benefit in forward year.
like- advertisement
Is This Answer Correct ? | 4 Yes | 0 No |
Answer / shyam
It is basically a form of revenue expenditure but the
benefit from it continues more than a year
Is This Answer Correct ? | 4 Yes | 0 No |
Answer / bineesh
Deffered revenue expenditure is the revenue expenditure,
but the revenue generated from this expenditure goes to
more than one accounting year.Eg:
advertisement,salespromotion etc.
Is This Answer Correct ? | 3 Yes | 0 No |
Answer / mustafa
deferred revenue expenditures are those expenses which we pay now but benefit will be in future more than a year like advertisement, promotion
Is This Answer Correct ? | 2 Yes | 0 No |
Answer / raj kumar
Entry of Deffred expense is
Expense a\c dr
cash cr
2 entry
expense ac dr
deffered expence cr
Is This Answer Correct ? | 3 Yes | 3 No |
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