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Need help on accounting part 2: a. Wild paid $4,000 cash on October 1, to rent an arena for the months of October and November.

Need help on accounting

part 2:

a. Wild paid $4,000 cash on October 1, to rent an arena for the months of October and November.
b. Arena received $16,000 on October 1, for season tickets that admit patrons to a theatre event
that will be held twice (on October 31 and November 30).
c. Ramblers paid $3,000 on October 1, for insurance coverage for the months of October - December.
October 1st INITIAL entries October 31st ADJUSTING entries
a. Prepaid Rent 4,000 a. Rent Expense 2,000
Cash 4,000 Prepaid Rent 2,000
b. b.
c. c.

part 2 continued

a. Yaya Magazine received $12,000 on January 1, 2014 for subscriptions to magazines that will be
published and distributed in January through December 2014.
b. Yale University paid $1,200 cash for supplies on January 1, 2014. As of January 31, 2014, $300 of
these supplies had been used up.
c. BMX Raceway received $6,000 on January 1, 2014, from race participants for 3 races. One race is held on
January 31, 2014 and the other two will be held in March 2014.
January 1st INITIAL entries January 31st ADJUSTING entries
a. Cash 12,000 a. Unearned Revenue 1,000
Unearned Revenue 12,000 Revenue 1,000
b. b.
c. c.

part 2 continued

a. On September 1, paid rent on the track facility for six months at a total cost of $18,000.
b. On September 1, received $120,000 for season tickets for 12-month admission to the race track.
September 1 INITIAL entries September 30 ADJUSTING entries
a. a.
b. b.

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