Definitions for "Prepaid Expense"
A current asset representing amounts paid in advance for future expenses. As the expenses are used or expire, expense is increased and prepaid expense is decreased. To Top
Payments or deposits made for services, facilities, or materials in advance of receipt or utilization. Prepaid expense is treated as an asset.
an expense you pay ahead of time
Cost incurred to acquire economically useful goods or services that are expected to be consumed in the revenue-earning process within the operating cycle.
A purchased item that is not consumed at the end of the accounting period.