Subscription Received in Advance is a :

Liability

The correct answer is option (1) : Liability

Subscription received in advance is considered a liability because it represents an obligation of the organization to provide services, goods, or benefits to the subscriber in the future. When an entity received subscription fees from its members or customers in advance of delivering the corresponding goods or services, it creates a liability on its balance sheet.

On the balance sheet, subscription in advance is recorded as a current liability. It appears in the "liabilities" section.