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Other Financial Statement Information
 12 Months Ended
Dec. 31, 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):
Year Ended December 31,
202220212020
Beginning balance$4,060 $5,256 $2,461 
Add: amounts recognized as a reduction of revenue8,193 6,610 6,493 
Add (less): bad debt expense recognized in general and administrative expense446 (279)2,170 
Less: write-offs, net of recoveries(7,969)(7,527)(5,868)
Ending balance$4,730 $4,060 $5,256 
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):
As of December 31,
20222021
Prepaid expenses$10,624 $10,957 
Deferred cost of revenue1,915 1,819 
Capitalized cloud computing development costs1,407 867 
Income tax receivable760 831 
Other current assets1,993 2,115 
Total prepaid expenses and other current assets$16,699 $16,589 
Accrued Expenses and Other Current Liabilities
Accrued expenses and other current liabilities consisted of the following (in thousands):
As December 31,
20222021
Accrued payroll and related expenses$27,822 $21,858 
Accrued vendor payables15,531 18,239 
Accrued advertising1,071 426 
Sales allowances4,426 4,862 
Accrued sales, use and business taxes3,838 2,678 
Other4,685 2,754 
Total accrued expenses and other current liabilities$57,373 $50,817 
Changes in sales allowances relating to charge-backs, sales credits and refunds consisted of the following (in thousands):
Year Ended December 31,
202220212020
Beginning balance$4,862 $4,856 $4,651 
Add: increase in sales allowances7,217 7,998 9,976 
Less: utilization of reserves(7,653)(7,992)(9,771)
Ending balance$4,426 $4,862 $4,856 
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):
Year Ended December 31,
202220212020
Cost of revenue$8,581 $6,430 $8,324 
Sales and marketing7,014 6,017 6,913 
Technology and development2,834 2,361 2,800 
General and administrative3,316 1,878 2,060 
Total depreciation and amortization expense$21,745 $16,686 $20,097 
Deferred Revenue
Deferred revenue as of December 31, 2022 and 2021 was $165.1 million and $147.9 million, respectively. Revenue recognized in 2022, 2021 and 2020 that was included in deferred revenue at the beginning of the year was $146.6 million, $127.6 million and $103.5 million, respectively. We expect to recognize substantially all of the deferred revenue as of December 31, 2022 as revenue in 2023.
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.