Question
On October 31, the Vermillion Igloos Hockey Club received $800,000 in cash in advance for season tickets for eight home games. The transaction was recorded
On October 31, the Vermillion Igloos Hockey Club received $800,000 in cash in advance for season tickets for eight home games. The transaction was recorded as a debit to Cash and a credit to Unearned Admissions. By December 31, the end of the fiscal year, the team had played three home games and received an additional $450,000 cash admissions income at the gate.
a. Journalize the adjusting entry as of December 31.
GENERAL JOURNAL | PAGE | |||
---|---|---|---|---|
DATE | DESCRIPTION | POST. REF. | DEBIT | CREDIT |
20-- | Adjusting Entries | |||
Dec. 31 | Unearned Admissions | |||
Admissions Income |
b. List the title of the account and the related balance that will appear on the income statement.
Admissions Income | $ |
c. List the title of the account and the related balance that will appear on the balance sheet.
Unearned Admissions | $ |
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