46 Part 2: Assume that Fabfit Enterprises collected $2,120,000 during 2020 for fitness magazines that will be delivered in future years. During 2021, Fabfit delivered magazines based on these subscriptions amounting to $2,005,000. Required: Prepare journal entry to show the effect on financial statements in 2020 and 2021 by these subscriptions. View transaction list Journal entry worksheet 1 2 Record the effect on financial statements due to warranties in 2020. Note: Enter debits before credits. Date December 31, 2020 General Journal Debit Credit