They need to record it because the unearned income which is the present liabilities. This section discusses how to revise transactions before generating vouchers for advance funds. Companies concerned in the manufacturing course of need fee upfront as it’ll show commitment from the buyer’s side that they are prepared to [...]

In a few cases, an analyst may present two scenarios, one that includes the impact on the company’s cash flow and one that does not. Recording a contingent liability is a noncash transaction because it has no initial impact on cash flow. Instead, the creation of a contingent payroll liability [...]