Question
On 1 November 2018 the publishers of Home magazine received $198 (including GST) in advance for a 12-month subscription to their monthly issue. At the
On 1 November 2018 the publishers of Home magazine received $198 (including GST) in advance for a 12-month subscription to their monthly issue. At the end of the financial year on 30 June 2019 the adjusting entry will be:
DR Unearned subscriptions (liability) $120; CR Subscriptions income $120.
DR Cash $120; CR Subscriptions income $120.
DR Cash $198; CR GST payable $18; CR Unearned subscriptions (liability) $180.
DR Unearned subscriptions (liability) $132; CR Subscriptions income $120; CR GST payable $12.
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The Routledge Companion To Accounting And Risk
Authors: Margaret Woods
1st Edition
1138860123, 9781138860124
