Homework Help is Here – Start Your Trial Now!
Business
Accounting
. Assume that Black Squirrel Design, Inc., signs up for the Platinum plan at SurveyMonk 1. How and when will SurveyMonkey record this customer's payment? 2. What asset and/or liability accounts are affected? 3. What are they effects on SurveyMonkey's Financial Statements? . Assume SurveyMonkey forgets to record the customer's payment what (if any) would .Continue the same example from Item #1. If SurveyMonkey has a December 31 year e 2000

. Assume that Black Squirrel Design, Inc., signs up for the Platinum plan at SurveyMonk 1. How and when will SurveyMonkey record this customer's payment? 2. What asset and/or liability accounts are affected? 3. What are they effects on SurveyMonkey's Financial Statements? . Assume SurveyMonkey forgets to record the customer's payment what (if any) would .Continue the same example from Item #1. If SurveyMonkey has a December 31 year e 2000

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question
Answer all the questions
When does SurveyMonkey recognize revenue from its Platinum annual subscription plans? SurveyMonkey is an online survey company that allows its subscribers to customize and administer surveys. It recently made the news for raising another $250 million in equity funding ("SurveyMonkey is worth $2 billion after new $250 million fundraising round, Fortune, December 15, 2014.) (Note: SurveyMonkey is privately held. The founder says the company will not go public because the related costs of being a publicly-held organization are too high.) SurveyMonkey's basic services are free and include the ability to customize a survey containing a maximum 10 questions for up to 100 responses. Premium plans are also available through SurveyMonkey. Features of the Platinum SurveyMonkey plan include unlimited questions, unlimited number of responses, custom logos, and phone support. The Platinum plan costs $65 per month and is billed annually on the starting date of the plan for a total cost of $780. Questions 1. Assume that Black Squirrel Design, Inc., signs up for the Platinum plan at SurveyMonkey on December 1, 2019. The customer pays the entire $780 on March 1, 2020. 1. How and when will SurveyMonkey record this customer's payment? 2. What asset and/or liability accounts are affected? 3. What are they effects on SurveyMonkey's Financial Statements? 2. Assume SurveyMonkey forgets to record the customer's payment what (if any) would be the effects on SurveyMonkey's Financial Statements and why? 3. Continue the same example from Item #1. If SurveyMonkey has a December 31 year end, how much revenue related to the Platinum plan purchased by Black Squirrel Design will SurveyMonkey recognize at December 31, 2020? 1. How much revenue from the Black Squirrel Design purchase will be recognized during 2020.
Transcribed Image Text:When does SurveyMonkey recognize revenue from its Platinum annual subscription plans? SurveyMonkey is an online survey company that allows its subscribers to customize and administer surveys. It recently made the news for raising another $250 million in equity funding ("SurveyMonkey is worth $2 billion after new $250 million fundraising round, Fortune, December 15, 2014.) (Note: SurveyMonkey is privately held. The founder says the company will not go public because the related costs of being a publicly-held organization are too high.) SurveyMonkey's basic services are free and include the ability to customize a survey containing a maximum 10 questions for up to 100 responses. Premium plans are also available through SurveyMonkey. Features of the Platinum SurveyMonkey plan include unlimited questions, unlimited number of responses, custom logos, and phone support. The Platinum plan costs $65 per month and is billed annually on the starting date of the plan for a total cost of $780. Questions 1. Assume that Black Squirrel Design, Inc., signs up for the Platinum plan at SurveyMonkey on December 1, 2019. The customer pays the entire $780 on March 1, 2020. 1. How and when will SurveyMonkey record this customer's payment? 2. What asset and/or liability accounts are affected? 3. What are they effects on SurveyMonkey's Financial Statements? 2. Assume SurveyMonkey forgets to record the customer's payment what (if any) would be the effects on SurveyMonkey's Financial Statements and why? 3. Continue the same example from Item #1. If SurveyMonkey has a December 31 year end, how much revenue related to the Platinum plan purchased by Black Squirrel Design will SurveyMonkey recognize at December 31, 2020? 1. How much revenue from the Black Squirrel Design purchase will be recognized during 2020.
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Determination of Tax Liability
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS