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OK Corporation sells gift cards in various denominations. The company likes to sell these cards because cash is collected immediately, but a certain percentage will
OK Corporation sells gift cards in various denominations. The company likes to sell these cards because cash is collected immediately, but a certain percentage will never be redeemed for merchandise. On December 1, Year One, OK reported a balance in unearned revenue of $728,000 from the sale of gift cards. During December, OK sold an additional $598,000 in gift cards. Which of the following is the journal entry to record this transaction? Unearned Revenue 598,000 Cash Prepaid Gift Cards Cash 598,000 598,000 598,000 Unearned Revenue Unearned Revenue 598,000 598,000 Cash 598,000 Revenue 598,000
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