Outrageously Funny Word Dictionary :: Prepayment

👉 In the context of accounting and finance, a "prepayment" is an event or transaction that occurs before its scheduled payment date. It can be in the form of an advance payment for goods or services, a deferred payment on a loan, or an early withdrawal from a bond or loan. Prepayments are typically recorded as an expense in the income statement and do not affect the balance sheet.

prepayments

👉 In finance, a prepayment is a payment that has been made but not yet received. This could refer to an upfront payment for goods or services, such as a purchase order, or it can also be related to a debt repayment, in which case it refers to making a payment that has already been due but unpaid.

prepayment