X Enterprises owns a professional ice hockey team, the Rockford Penguins. The company sells season tickets for its upcoming 2020-2021 season and receives $816,000 cash. The season starts November 1 and ends on April 30, with five home games occurring monthly over the six-month hockey season. Assume that McKinnon Enterprises' fiscal year ends on December 31.

Required: 1) Prepare journal entries to record all transactions and adjustments necessary through 2020-2021 hockey season.

2)Indicate how the season tickets will be reported on the income statement of 2020, the balance sheet at the end of 2020 and the statement of cash flows of 2020.