Odoo Accounting handles deferred expenses and prepayments by spreading them in multiple entries that are automatically created in draft mode and then posted periodically
Deferred expenses and prepayments (also known as prepaid expense), are both costs that have already occurred for unconsumed products or services yet to receive.
Such costs are assets for the company that pays them since it already paid for products and services still to receive or that are yet to be used. The company cannot report them on the current Profit and Loss statement, or Income Statement, since the payments will be effectively expensed in the future.