M Question - MHW9 Module Privacy Check IACO ule 4 Exercises-c3 Due 6/27 0 Saved Help Save & Exit Submit Check my wock For each separate case below, follow the three-step process for adjusting the unearned revenue liability account at December 31 Step 1: Determine what the current account balance equals. Step 2: Determine what the current account balance should equal. Step 3: Record the December 31 adjusting entry to get from step 1 to step 2 Assume no other adjusting entries are made during the year. Too Go, recolves S10,000 cash in advance for four months of evenly planned legal services beginning on October 1. To records it by dobiting Cash and crediting Unearned Revenue both for $10,000. It is now Duoomber 31, and Tao has provided legal servicen as planned. What adjusting entry should Tao make to account for the work performed from October 1 through December 317 Unoured revenue Step 1: Determine what the current account balance equals Step 2: Determine what the current account balance should equal Step 3: Record the December 31 adjusting entry to get from step 1 to step 2 b. Caden started a new publication called Contest News. Its subscribers pay $24 to receive 12 monthly issues with every now subscribor, Caden debits Cash and credits Unearned Subscription Revenue for the amounts received. The company b. Caden started a new publication called Contest News. Its subscribers pay $24 to receive 12 monthly issues. With every new subscriber, Caden debits Cash and credits Unearned Subscription Revenue for the amounts received. The company has 100 new subscribers as of July 1. It sends Contest News to each of these subscribers every month from July through December. Assume no changes in subscribers, prepare the year-end journal entry that Caden must make as of December 31 to adjust the Subscription Revenuo account and the Unearned Subscription Revenue account. Unearned subscription ravenue Step 1: Determine what the current account balance equals Step 2: Determine what the current account balance should equal Step 3: Record the December 31 adjusting entry to get from stop 1 to stop 2. tv AC 27
