Preparing adjusting entries (annual)unearned revenue Club 17X Fitness prepares financial statements on an annual basis and has

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Preparing adjusting entries (annual)—unearned revenue

Club 17X Fitness prepares financial statements on an annual basis and has a December 31 year-end. On October 1, 2023, Club 17X sells a one-year prepaid gym membership for $300 cash.

a. Record the journal entry on October 1, 2023.

b. How much is the gym membership per month?

c. How many months have passed between October 1, 2023 and December 31, 2023?

d. In order to prepare the annual financial statements, record the adjusting journal entry on December 31, 2023.

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Fundamental Accounting Principles Volume 1

ISBN: 9781260881325

17th Canadian Edition

Authors: Kermit D. Larson, Heidi Dieckmann, John Harris

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Question Posted: Aug 11, 2023 09:35 AM

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Preparing adjusting entries (annual)unearned revenue Club 17X Fitness prepares financial statements on an annual basis and has

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Jan. Mar. 4 Feb. Apr. May June 2023 October 1, 2023 July Aug. Sept. Oct. Nov. Dec. 31, 2023 Dec. Jan. Mar. Feb. Apr. May June July 2024 Aug. Sept. Oct. Nov. Dec.

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a 2023 Oct 1 Cash 2023 d Dec Unearned Revenue To ...View the full answer

Fundamental Accounting Principles Volume 1

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