36. If a company has advance ticket sales totaling $2,000,000 for the upcoming football season, the receipt of cash would be journalized as: A) Debit Sales, credit Unearned Revenue B) Debit Unearned Revenue, credit Sales C) Debit Cash, credit Unearned Revenue D) Debit Unearned Revenue, credit Cash E) Debit Cash, credit Ticket sales payable 37. A contingent liability is: A) Always of a specific amount B) A potential obligation that depends on a future event arising from a past transaction or event C) An obligation not requiring future payment D) An obligation arising from the purchase of goods or services on credit E) An obligation arising from a future event 38. Contingent liabilities must be recorded if: A) The future event is probable and the amount owed can be reasonably estimated B) The future event is remote C) The future event is reasonably possible but not estimable D) The amount owed cannot be reasonably estimated E) The future event is probabie but not estimable 39. In the accounting records of a defendant, lawsuits: A) Are known liabilities B) Should always be recorded C) Should always be disclosed D) Should be recorded if payment for damages is probable and the amount can be reasonably estimated E) Should never be recorded 40. The difference between the amount received from issuing a note payable and the amount repaid at maturity is referred to as: A) Interest B) Principal C) Face Value D) Cash E) Accounts Payable 41. Net pay is: A) Take-home pay B) Total compensation earned by an employee before any deductions C) Salaries after taxes are deducted D) Deductions withheld by an employer E) The amount of the paycheck