Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Can you answer these? Easy Company's unadjusted trial balance for the year ended August 30, 2019 showed an Unearned Fees account of P10,500. This balance
Can you answer these? Easy Company's unadjusted trial balance for the year ended August 30, 2019 showed an Unearned Fees account of P10,500. This balance was related to a 6 month contract to provide architecture services to start on August 1, 2019. In relation this, answer the following questions. 1. How much is the MONTHLY revenue pertaining to the said contract? 2. What method is being used by Easy Company to account for the contract? A. Liability Method B.asser Method C. Income Method D. Expense Method 3. How many months of the contract was earned for the year ending 8.31.2019? 4. How much is the correct amount of Fees Earned for year 2019 related to the said contract? 5. How many months of the contract is still unearned as of 8.31.19? 6. How much is the correct balance of the unearned fees on 8.31.19? 7. What adjusting entry should be made on 8.31.19? A. Accounts Receivable B.cash C. Fees Earned D.unearned Fees Follow up question to # 7 how much is the amount of the adjusting entry Another adjusting entry to number 7 A. Cash B fess Earned C. Unearned Fees D.account Receivable Follow up question to number 7 how much is the amount
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started