Answer:
a- On September 1, paid rent on the track facility for six months at a total cost of $13,800.
Dr Prepaid rent 13,800
Cr Cash 13,800
September 30, accrued rent expense
Dr Rent expense 2,300
Cr Prepaid rent 2,300
b. On September 1, received $58,800 for season tickets for 12-month admission to the race track.
Dr Cash 58,800
Cr Unearned revenue 58,800
September 30, accrued ticket revenue
Dr unearned revenue 4,900
Cr Ticket revenue 4,900
c. On September 1, booked the race track for a private organization that will use the track one day per month for $2,500 each time, to be paid in the following month. The organization uses the track on September 30.
no journal entry required
September 30, ticket revenue
Dr Accounts receivable 2,500
Cr Ticket revenue 2,500
d. On September 1, hired a new manager at a monthly salary of $3,400, to be paid the first Monday following the end of the month.
no journal entry required
September 30, accrued wages expense
Dr Wages expense 3,400
Cr Wages payable 3,400
