Education

Alumni Lifetime Membership (Deferred)

Recording a one-time fee for a lifetime membership in the Alumni Association.

Account NameTypeDebit ($)Credit ($)
CashAsset (+)1,000.00-
Deferred Alumni RevenueLiability (+)-1,000.00

💡 Accountant's Note

Under IFRS 15, because the 'service' (membership) is provided over the lifetime of the member, the revenue must be deferred and recognized over a reasonable estimate (e.g., 20 years).

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