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Can you please also help answer the following question? I need it with few hours and will pay the same amount of $36.00 Analyzing Unearned
Can you please also help answer the following question? I need it with few hours and will pay the same amount of $36.00
Analyzing Unearned Revenue Disclosures The following disclosures are from the September 1, 2013, annual report of Costco Wholesale Corporation. Revenue Recognition: Membership fee revenue represents annual membership fees paid by substantially all of the Company's members. The Company accounts for membership fee revenue, net of estimated refunds, on a deferred basis, whereby revenue is recognized ratably over the one-year membership period. Revenue ($ millions) September 1, 2013 September 2, 2012 August 28, 2011 Net Sales $102,870 $97,062 $87,048 2,286 2,075 1,867 $ 105,156 $ 99,137 $ 88,915 Membership fees Total revenue Current Liabilities ($ millions) September 1, 2013 September 2, 2012 Accounts payable $7,872 $7,303 2,037 1,832 Accrued member rewards 710 661 Accrued sales and other taxes 382 397 1,167 1,101 1,089 966 $ 13,257 $ 12,260 Accrued salaries and benefits Deferred membership fees Other current liabilities Total current liabilities The components of the deferred tax assets (liabilities) are as follows (in $ millions): 2013 Equity compensation 2012 $ 80 $ 79 Deferred income/membership fees 130 148 Accrued liabilities and reserves 530 461 42 55 (558) (522) (190) (182) $ 34 $ 39 Other Property and equipment Merchandise inventories Net deferred tax assets 2013 2012 (b) Use the balance sheet information on Costco's Deferred Membership Fees liability account and its income statement revenues related to Membership Fees earned during 2013 to compute the cash that Costco received during 2013 for membership fees. Total cash received (in $ millions) = $Answer 0 (c) Use the financial statement effects template to show the effect of the cash Costco received during 2013 for membership fees and the recognition of membership fees revenue for 2013. Balance Sheet Cash Transaction Cash received for membership Asset Answer 0 Noncash + Assets Answer 0 Contributed = Liabilities Answer + Capital + Answer 0 13257 Earned Capital Answer 0 fees Membership fees earned Answer 0 Answer 0 Answer 130 Answer 0 Answer 0 Income Statement Net Revenue Answer 0 Answer 0 - Expenses Answer = Income Answer 0 Answer 0 0 Answer 0Step by Step Solution
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