• You work in a company that has begun selling pre-orders for its new online magazine annual subscription. In November 2021, the company sold the first pre-order subscriptions, receiving $600,000, which represents one-fifth of its revenues from all sources for the year. The entire amount was collected in cash. The 12-month subscriptions will be distributed monthly starting in December 2021. As the end of the year approaches, you notice that the company had recorded the following journal entry: