Exercise $6-2($Algo$)$ Service revenue $[$L$06-3]$

Ski West, Incorporated, operates a downhill ski area near Lake Tahoe, California. An all$-$day adult lift ticket can be purchased for $$95.$

Adult customers also can purchase a season pass that entitles the pass holder to ski any day during the season, which typically runs

from December $1$ through April $30.$ Ski West expects its season pass holders to use their passes equally throughout the season. The

company's fiscal year ends on December $31.$

On November $6,2024,$ Jake Lawson purchased a season pass for $$500.$

Required:

When should Ski West recognize revenue from the sale of its season passes?

Prepare the appropriate journal entries that Ski West would record on November $6$ and December $31.$

What will be included in the Ski West $2024$ income statement and balance sheet related to the sale of the season pass to Jake

Lawson?

Complete this question by entering your answers in the tabs below.

Prepare the appropriate journal entries that Ski West would record on November $6$ and December $31.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.