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NEED ADJUSTED JOURNAL ENTRIES FOR THESE. YEAR ENDING AUGUST 31 5 Customers must pay a $200 deposit if they want to book a cottage during
NEED ADJUSTED JOURNAL ENTRIES FOR THESE. YEAR ENDING AUGUST 31
5 | Customers must pay a $200 deposit if they want to book a cottage during the peak period. | ||||||||||
An analysis of these bookings indicates that 355 deposits were received and credited to Deferred | |||||||||||
Revenue. Only 45 of these deposits have not been earned by August 31. | |||||||||||
8 | On August 25, a local business contracted with Rocky Mountain to rent one of its cottages for four | ||||||||||
months, starting October 1, at a rate of $3,000 per month. An advance payment equal to two | |||||||||||
months' (October and November) rent was received on August 31 and credited to Rent Income. |
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