Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Princess Comparny publishes a monthly fashion magazine, Tiara. Subscriptions to the magazine cost $30 per year. During October 2022, Princess sells 12,000 subscriptions beginning with
Princess Comparny publishes a monthly fashion magazine, Tiara. Subscriptions to the magazine cost $30 per year. During October 2022, Princess sells 12,000 subscriptions beginning with the November issue. Princess prepares financial statements quarterly and recognizes subscription revenue earned at the end of the quarter. The company uses the accounts Unearned Subscription Revenue and Subscription Revenue. (a) - Your answer is partially correct. Prepare the entry in October for the receipt of the subscriptions. (List debit entry before credit entry. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Oct. 31 eTextbook and Media Solution List of Accounts Attempts: 1 of 1 used (b) Prepare the adjusting entry at December 31, 2022, to record sales revenue recognized in December 2022. (List debit entry before credit entry. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started