During February 2020, Master Massage Ltd. sells $10,000 of gift cards for Valentines Day gifts. From reliable
Question:
During February 2020, Master Massage Ltd. sells $10,000 of gift cards for Valentine’s Day gifts. From reliable past experience, management estimates that 10% of the gift cards sold will not be redeemed. By the end of February, $4,000 was redeemed by customers. Prepare the journal entries for Master Massage for February 2020. Round to the nearest dollar.
Step by Step Answer:
February 2020 Cash 10000 Contract Liability 10000 To record the sale of ...View the full answer
Intermediate Accounting Volume 1
ISBN: 978-1119496496
12th Canadian edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Irene M. Wiecek, Bruce J. McConomy
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A journal entry is an act of keeping or making records of any transactions either economic or non-economic. Transactions are listed in an accounting journal that shows a company\'s debit and credit balances. The journal entry can consist of several recordings, each of which is either a debit or a credit
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