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Other Financial Statement Information
 9 Months Ended
Sep. 30, 2021
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,
2021202020212020
Beginning balance$5,114 $2,447 $5,256 $2,461 
Add: amounts recognized as a reduction of revenue1,884 1,487 4,911 4,300 
Add: bad debt expense recognized in general and administrative expense146 348 177 1,028 
Less: write-offs, net of recoveries(2,415)(720)(5,615)(4,227)
Ending balance$4,729 $3,562 $4,729 $3,562 
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 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, 2021December 31, 2020
Prepaid expenses$11,221 $7,177 
Deferred cost of revenue2,369 1,967 
Other current assets2,748 1,392 
Total prepaid expenses and other current assets$16,338 $10,536 
Accrued Expenses and Other Current Liabilities
Accrued expenses and other current liabilities consisted of the following (in thousands):
September 30, 2021December 31, 2020
Accrued payroll and related expenses$17,740 $16,135 
Accrued vendor payables16,010 10,854 
Derivative liabilities and hybrid debt— 5,131 
Sales allowances4,952 4,856 
Accrued sales, use and business taxes1,711 1,789 
Other2,545 2,263 
Total accrued expenses and other current liabilities$42,958 $41,028 
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,
 2021202020212020
Cost of revenue$1,403 $1,904 $4,479 $5,796 
Sales and marketing1,401 1,377 4,199 4,988 
Technology and development538 656 1,709 1,973 
General and administrative433 478 1,217 1,405 
Total depreciation and amortization expense$3,775 $4,415 $11,604 $14,162 
Deferred Revenue
Deferred revenue as of September 30, 2021 and December 31, 2020 was $154.0 million and $130.1 million, respectively. We recognized $79.4 million and $64.8 million of revenue during the three months ended September 30, 2021 and 2020, respectively, which were included in the deferred revenue balances as of June 30, 2021 and 2020, respectively, and $121.9 million and $98.5 million during the nine months ended September 30, 2021 and 2020, respectively, which were included in the deferred revenue balances as of December 31, 2020 and 2019, respectively. We expect to recognize substantially all of the remaining deferred revenue as of December 31, 2020 as revenue in 2021. Accordingly, we expect substantially all of the deferred revenue at September 30, 2021 will be recognized as revenue within the next twelve months.
We have omitted disclosure about the transaction price allocated to remaining performance obligations and when revenue will be recognized as revenue as our contracts with customers that have a duration of more than one year are immaterial.