Answer: Please your question s incomplete , so i will give answers based on the twp accounting procedures for the situations
Consider the following situations to recognize the revenue
1. under accrual-basis accounting.
2. Under cash - basis accounting
Please see below for explanation.
Explanation:
Accrual- basis accounting occurs when revenue and expenses are recognized and documented when they occur usually when a company forwards an invoice to a customer irrespective of when payment is made.
cash basis accounting occurs when revenue and expenses are not recognised and documented until cash is being exchanged.
Based on Accrual- basis accounting
1. A company collects cash on June 12 from the sale of a ticket to a customer. The flight occurs on August 16.
------- August 16
2. A customer purchases sunglasses from a company on January 27 on account. The company receives payment from the customer on February 2.
----------January 27
3. On March 30, a customer preorders 10 supreme pizzas (without onions) from a company for a birthday party. The pizzas are prepared and delivered on April 2. The company receives cash at the time of delivery.
----April 2
4. A customer pays in advance for a three-month subscription to a company on July 1. Issues are scheduled for delivery each week from July 1 through September 30.----- recorded as each issue is being delivered from july 1 through september 30
Based on cash- basis accounting
1. A company collects cash on June 12 from the sale of a ticket to a customer. The flight occurs on August 16.
----- June 12
2. A customer purchases sunglasses from a company on January 27 on account. The company receives payment from the customer on February 2.
----- February 2
3. On March 30, a customer preorders 10 supreme pizzas (without onions) from a company for a birthday party. The pizzas are prepared and delivered on April 2. The company receives cash at the time of delivery.
-------April 2
4. A customer pays in advance for a three-month subscription to a company on July 1. Issues are are scheduled for delivery each week from July 1 through September 30.------- July 1
