Credit $1300 from you cash or bank account and Debit $1300 to Principal account.
Answer:
The correct answer is B
Explanation:
The journal entry to record the sale of the subscription is as:
Cash A/c.............................................................Dr $600,000
To Unearned Subscription Revenue A/c..........Cr $600,000
As company made a sale of the subscription, so cash is received from sale therefore any increase in asset is debited. So, the cash account is debited. And the unearned subscription revenue is credited because cash is received against subscription sale.
