When the amount of revenue collected in advance decreases during an accounting period: Multiple Choice Accrual-basis revenues exceed cash collections from customers. Wouldn't revenues collected in advance be less than or equal to the original cash collection (say 100)? See picture on right for how I understand this. Cash 100 Deferred revenue (liability) 100 Deferred revenue OR 50 Sales Revenue g| Deferred revenue 100 Sales Revenue 100