The Unearned Revenue account of Professor Incorporated began 2018 with a normal balance of $5,000 and ended 2018 with a normal b

Question

4 years ago

7

The Unearned Revenue account of Professor Incorporated began 2018 with a normal balance of $5,000 and ended 2018 with a normal b

alance of $11,000. During 2018, the Unearned Revenue account was credited for $24,000 that Professor will earn later. Based on these facts, how much revenue did Professor earn in 2018?

Business

1 answer:

Nady [450] · Answer 1 · 2021-12-29T05:33:01+03:00

Answer: $18,000

Explanation:

Given that,

Began 2018 with a Normal balance = $5,000

Ended 2018 with a normal balance = $11,000

Unearned Revenue account was credited = $24,000

Revenue earned by professor in 2018 :

= Beginning unearned revenue + Advance payments - Ending unearned revenue

= $5,000 + $24,000 - $11,000

= $18,000

Therefore, $18,000 revenue earned by professor in 2018.