How does defer and named return value work?

A defer statement pushes a function call onto a list. The list of saved calls is executed after the surrounding function returns. — The Go Blog: Defer, Panic, and Recover

Another way to understand the above statement:

A defer statements pushes a function call onto a stack. The stack of saved calls popped out (LIFO) and deferred functions are invoked immediately before the surrounding function returns.

 func c() (i int) {
    defer func() { i++ }()
    return 1
}

After 1 is returned, the defer func() { i++ }() gets executed. Hence, in order of executions:

1. i = 1 (return 1)
2. i++ (defer func pop out from stack and executed)
3. i == 2 (final result of named variable i)

For understanding sake:

 func c() (i int) {
    defer func() { fmt.Println("third") }()
    defer func() { fmt.Println("second") }()
    defer func() { fmt.Println("first") }()

    return 1
}

Order of executions:

1. i = 1 (return 1)
2. “first”
3. “second”
4. “third”