Where are the sources that Sony making tons of monies on PS4?

[mjk45]

pezus said:

Baalzamon said:
Just want to make sure people know how accounting works regarding ps+ as well. When sony sells a $50 subscription, only the amount earned is recorded as revenue. So if a 50 dollar sub is sold on December 1st, only $4 is recorded as revenue...the rest is actually a liability. The increased revenues will stay up whether people bought a 3 month or a 12 month subscription.

That's the first time I've heard that. Are you sure about that? And why would they do it like that, when it's essentially a one-time fee just like a game?

No he's right , take a 12month magazine subscription you have paid up front for 12 magazines this is usually called future benefit , and the sub revenue is commonly put down as unearned or deferred revenue and is denoted as a liability to sub revenue .

In the case of the mag sub this will change every month as the magazines are sent out .