Homonym: Deferral (Postponement)
Deferral is the act of postponing or delaying something to a later time. This can apply to various contexts, such as financial obligations, where payments are delayed, or academic settings, where students may defer their enrollment to a future semester. The purpose of deferral is often to provide individuals or organizations with additional time to prepare or manage their responsibilities.
In finance, deferral can refer to the postponement of income recognition or expense reporting. For example, a company might defer revenue until it has fulfilled certain conditions. This practice helps in aligning financial reporting with actual performance, ensuring that stakeholders have a clearer picture of the organization's financial health.