A. Deferred revenuescustomer deposits

Eastern Brewing Company (EBC) distributes its products in an aluminum keg. Customers are charged a deposit of $36 per keg, and deposits received from customers are recorded in the keg deposits account.

Required:
1.	Not available in Connect.

2.

A production specialist who works for EBC estimates that 50 kegs for which deposits were received during the year will never be returned. How would the deposits related to these 50 kegs be reflected in the companys financial statements? (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

A. Deferred revenues-customer deposits Eastern Brewing Company (EBC) distributes its products in an aluminum keg. Customers are charged a deposit of $36 per keg, and deposits received from customers are recorded in the keg deposits account. Required: 1. Not available in Connect. 2. A production specialist who works for EBC estimates that 50 kegs for which deposits were received during the year will never be retumed. How would the deposits related to these 50 kegs be reflected in the company's financial staterments? (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record deposit revenue. Note: Enter debits betore credits. Transaction General Journal Debit Credit No journal entry required Cash Deferred rent revenue Deferred subscription revenue Keg deposits Record en View general journal B. Deferred revenues-rent