Ask Question
BusinessBusiness
23 April, 17:40

Record the January 31, 2019 adjusting entry for the December 31, 2018 receipt of $3,000 from race participants for providing services for three races. One race is held on January 31, 2019 and the other two will be held in March 2019.

+5
Answers (1)
  1. 23 April, 17:51
    0
    Debit Unearned revenue $1,000

    Credit Service revenue $1,000

    Explanation:

    When cash is received in advance for service yet to be provided, an asset and a corresponding liabilities are created.

    The liability is then reduced as the revenue for which cash was collected in advance is earned.

    Given that the December 31, 2018 receipt of $3,000 from race participants for providing services for three races. One race is held on January 31, 2019 and the other two will be held in March 2019.

    Revenue from one race = 1/3 * $3,000

    = $1,000

    Since One race is held on January 31, 2019, entries required

    Debit Unearned revenue $1,000

    Credit Service revenue $1,000

    Being entries top recognize revenue earned from the race held on January 31, 2019.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Record the January 31, 2019 adjusting entry for the December 31, 2018 receipt of $3,000 from race participants for providing services for ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
In the U. S. current account, most of the trade deficit results from an excess of imported A. merchandise and services B. merchandise C. services D. transfer
Answers (1)
Adie wants to take some online classes this semester. She is willing to pay $1,000 for the first class, $800 for the second, $700 for the third, and $500 for the fourth.
Answers (1)
Barton Industries can issue perpetual preferred stock at a price of $56 per share. The stock would pay a constant annual dividend of $3.72 per share. If the firm's marginal tax rate is 25%, what is the company's cost of preferred stock?
Answers (1)
Central banks are responsible for the collection and the replacement of currency from circulation. A. True B. False
Answers (1)
In 2014, Firm X made $500 in sales with $1,200 in fixed assets. Suppose the firm had been operating at 75% of fixed asset capacity.
Answers (1)
New Questions in Business
Ginny is a 26-year-old who lost her job as a copy editor for a local newspaper. She has spent the past few weeks out of work and interviewing for other editing jobs.
Answers (2)
What causes a change in the demand curve or a shift
Answers (2)
Glenda, a sales representative for revo appliances inc., had to deliver a presentation on her company's latest offering: an innovative food processor. her target clients were senior managers and chefs from a reputed restaurant.
Answers (1)
To discover the extent to which economic status can be used to predict political preferences?
Answers (1)
In the current year, Mitchell Manufacturing expected Job No. 13 to cost $600,000 of overhead, $650,000 of materials, and $400,000 of labor. Mitchell applied overhead based on direct labor cost.
Answers (1)
Home » Business » Record the January 31, 2019 adjusting entry for the December 31, 2018 receipt of $3,000 from race participants for providing services for three races. One race is held on January 31, 2019 and the other two will be held in March 2019.
Sign Up Forgot Password?