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steposvetlana [31]
3 years ago
7

State University sold all of its basketball tickets to its students for 15 home games on September 30 for​ $1,200,000 (basketbal

l season starts November​ 1). Assuming the college basketball team played six home games prior to​ year-end, what adjusting journal entry​ (if any) is necessary on December​ 31, assuming the initial student ticket transactions were recorded on September​ 30?
Business
1 answer:
UNO [17]3 years ago
5 0

Answer:

Debit Deferred revenue      $480,000

Credit Revenue                    $480,000

Being entries to recognize cash received for revenue earned during the year.

Explanation:

The cash received from the students on 30 September will be accounted for in the cash account however, the corresponding entry is a liability known as deferred or unearned revenue.

As such the entries on that day will be

Debit Cash account      $1,200,000

Credit Deferred revenue  $1,200,000

Being entries to recognize cash received for revenue yet to be earned.

Since a total of 15 games were paid for and only 6 were played as at year end, amount earned

= (6/15) × $1,200,000

= $480,000

Hence adjusting entries required will be

Debit Deferred revenue      $480,000

Credit Revenue                    $480,000

Being entries to recognize cash received for revenue earned during the year.

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2) What is the correct way to mark False Starts in Full Verbatim?
Ksju [112]

Answer:

I think it's B. There is no need to mark a false start in a full verbatim file.

5 0
2 years ago
Werner installs custom sound systems in cars. If he installs seven systems per day, his total costs are $300. If he installs eig
sergiy2304 [10]

Answer:

$100

Explanation:

Total cost if he installs seven systems = $300

Total cost if he installs eight systems = $400

Therefore, the marginal cost of installing 8th system is the difference between the total cost of installing eight systems and the total cost of installing seven systems.

Marginal cost of installing 8th system:

= Total cost of installing 8 systems - Total cost of installing 7 systems

= $400 - $300

= $100

The profit maximization conditions says that the marginal cost must be equal to the marginal revenue.

Hence,

William will install eight systems per day only if the eight customer is willing to pay at least $100.

8 0
3 years ago
How many years would it take for money to increase to 3 times the initial amount at an interest rate of 18% per year?
arlik [135]

Answer:

7 years (to the nearest year)

Explanation:

Given that;

A = amount

P= principal

t = time

r = rate

A =3P(given in the question)

Formula for compound interest;

A = P(1 + r)^t

Substituting values;

3P = P(1 + 18/100)^t

3P/P= (1.18)^t

3 = (1.18)^t

log 3 = t log 1.18

t = log 3/log 1.18

t = 0.4771/0.0719

t = 6.6 years

t = 7 years (to the nearest year)

3 0
2 years ago
Justin hires Miguel to sell his baseball glove for $560. As part of their contract, Justin will pay him $100 to conduct the sale
Nonamiya [84]

Answer: Factee

Explanation:

This is a factorage transaction in which Justin will pay Miguel to act as an intermediary who will sell the baseball glove and receive a commission. That commission is known as a Factorage.

In a Factorage transaction, the intermediary being paid to sell the product is considered to be the Factor and the person who will pay for the product to be sold is the Factee. Justin in this scenario is paying for the baseball glove to be sold and so is the Factee.

3 0
3 years ago
Amanda Roberts works a Monday Through Friday work week at a rate of 8.75$ per hour. She takes a 1 hour lunch break. If she clock
netineya [11]
She works 8 hour and 30 minutes a day - 1hr of lunch break is 7hrs and 30 min

7hrs =$61.25
30min =$4.375
$61.25 + $4.375 =$65.625
62.625(money made in one day) x 7 days a week = $459.375
Answer $459.375
5 0
3 years ago
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