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The advance payment should be reported in the company's balance sheet as a..
• deferred charge.
• contra asset account.
• current liability.
• non-current liability.
The advance payment should be reported as current liability in the company's balance sheet
current liability
because this amount as liability for customer up to receive goods
will be reported as Current Liability
Advance payment received from customer is called as Unearned Revenues and if revenue is going to be earned within one year of receiving the advance, it will be reported as a CURRENT LIABILITY
IT IS A CURRENT LIABILITY, WITH IN 6 MONTH'S GOODS TO BE DELIVERED AND THE MONEY RECEIVED NOW IS A LIABILITTY
the adv.payment should be reported in balance sheet as current liability
It should be recorded as Deferred Income which is a current liability.
current liability, the payment (cash) will make the part of asset after thes delivery of the product
