Analyzing Unearned Revenue Liabilities The Metropolitan Opera Association, Inc., was founded in 1883 and is widely regarded as one of the world's greatest opera companies. The Metropolitan's performance run from September to May. and the season may consisted of more than two dozen different operas. Many of the opera's loyal subscribers purchase tickets for the upcoming season prior to the end of the opera's fiscal year end at July 31. In its annual report, the Metropolitan recognizes a Deferred Revenue liability that is defined in their footnotes as follows. "Advance ticket sales, representing the receipt of payments for ticket sales for the net opera season, are reported as deferred revenue in the consolidated balance sheets." Ticket sales are recognized as box office revenue "on a specific performance basis." Fiscal year Revenues ended July 31 (Box office and tours) Deferred revenue $88,514 $ 42,649 2016 87,582 46,609 2015 90,952 47,801 40,259 2017 2014 91,319 LI Recreate the summary journal entries to recognize ticket sales (box office and tours) for The Metropolitan Opera's fiscal year 2017 and advance sales for the fiscal year 2018 season. (Assume that advance ticket sales extend no further than the next year's opera season.) General Journal Description Debit Credit Deferred revenue 0 Cash 46,609 X 0 Revenues 88,514 To record revenue for 2017 season, Cash 42,649 Deferred revenue 42,549 To record advance purchases for 2018 Season n O