v3.22.2.2
Other Financial Statement Information
 9 Months Ended
Sep. 30, 2022
Other Financial Information [Abstract]  
Other Financial Statement Information Other Financial Statement Information
Accounts Receivable
Changes in the allowance consisted of the following (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2022202120222021
Beginning balance$4,508 $5,114 $4,060 $5,256 
Add: amounts recognized as a reduction of revenue2,099 1,884 6,292 4,911 
Add: bad debt expense recognized in general and administrative expense2 146 142 177 
Less: write-offs, net of recoveries(2,190)(2,415)(6,075)(5,615)
Ending balance$4,419 $4,729 $4,419 $4,729 
The allowance recognized as a reduction of revenue primarily relates to our installment plan receivables for which we expect we will not be entitled to a portion of the transaction price based on our historical experience with similar transactions. The allowance recognized against general and administrative expense represents an allowance relating to receivables from partners that are no longer considered collectible.
Prepaid Expenses and Other Current Assets
Prepaid expenses and other current assets consisted of the following (in thousands):
September 30, 2022December 31, 2021
Prepaid expenses$11,377 $10,968 
Deferred cost of revenue2,029 1,819 
Capitalized cloud computing development costs1,016 867 
Other current assets2,202 2,935 
Total prepaid expenses and other current assets$16,624 $16,589 
Accrued Expenses and Other Current Liabilities
Accrued expenses and other current liabilities consisted of the following (in thousands):
September 30, 2022December 31, 2021
Accrued payroll and related expenses$21,574 $21,858 
Accrued vendor payables16,557 18,239
Accrued advertising8,543 426
Sales allowances4,287 4,862
Accrued sales, use and business taxes3,745 2,678
Other5,210 2,754
Total accrued expenses and other current liabilities$59,916 $50,817 
Depreciation and Amortization
Depreciation and amortization expense of our property and equipment, including capitalized internal-use software, and intangible assets consisted of the following (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
2022202120222021
Cost of revenue$1,966 $1,403 $6,220 $4,479 
Sales and marketing1,754 1,401 5,508 4,199 
Technology and development694 538 2,112 1,709 
General and administrative840 433 2,347 1,217 
Total depreciation and amortization expense$5,254 $3,775 $16,187 $11,604 
Deferred revenue
Deferred revenue as of September 30, 2022 and December 31, 2021 was $169.7 million and $147.9 million, respectively. Revenue recognized in the three months ended September 30, 2022 and 2021 that was included in deferred revenue as of June 30, 2022 and 2021 was $81.7 million and $79.4 million, respectively. Revenue recognized in the nine months ended September 30, 2022 and 2021, that was included in deferred revenue as of December 31, 2021 and 2020 was $146.5 million and $121.9 million, respectively.
We have omitted disclosure on the transaction price allocated to remaining performance obligations and estimated timing of revenue recognition as our contracts with customers that have a duration of more than one year are immaterial.