b) Pacifica Fitness Ltd sold 17 packages advance and receive first payment on 30 May 2023. The reporting period is 30 June 2023. Provide the accounting entries to record the receipt of the cash and the subsequent reporting date adjustment. 30 May 2023 Debit/Credit Description Debit Amount Credit Amount Debit Credit Cash At Bank Revenue In Advance Debit Credit Cash At Bank Revenue In Advance 30 June 2023 Debit/Credit Description Debit Amount Credit Amount Debit Credit Revenue In Advance Revenue Debit Credit Revenue Revenue In Advance c)
b) Pacifica Fitness Ltd sold 17 packages advance and receive first payment on 30 May 2023. The reporting period is 30 June 2023. Provide the accounting entries to record the receipt of the cash and the subsequent reporting date adjustment. 30 May 2023 Debit/Credit Description Debit Amount Credit Amount Debit Credit Cash At Bank Revenue In Advance Debit Credit Cash At Bank Revenue In Advance 30 June 2023 Debit/Credit Description Debit Amount Credit Amount Debit Credit Revenue In Advance Revenue Debit Credit Revenue Revenue In Advance c)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
100%
- a) Separate performance obligations and how much of the transaction price to allocate to each performance obligation.
|
Good or Service |
Stand-alone Price |
Discount Allocation |
Allocated Amount |
|
Gym Membership Gym Bag Zumba Classes |
530 | 185.1 | 345 |
|
Gym Membership Gym Bag Zumba Classes |
38 | 13.3 | 25 |
|
Gym Membership Gym Bag Zumba Classes |
62 | 21.6 | 40 |
|
Total |
630 | 220 | 410 |
- b) Pacifica Fitness Ltd sold 17 packages advance and receive first payment on 30 May 2023. The reporting period is 30 June 2023. Provide the accounting entries to record the receipt of the cash and the subsequent reporting date adjustment.
30 May 2023
|
Debit/Credit |
Description |
Debit Amount |
Credit Amount |
|
Debit Credit |
Cash At Bank Revenue In Advance |
||
|
Debit Credit |
Cash At Bank Revenue In Advance |
30 June 2023
|
Debit/Credit |
Description |
Debit Amount |
Credit Amount |
|
Debit Credit |
Revenue In Advance Revenue |
||
|
Debit Credit |
Revenue Revenue In Advance |
- c) What is the balance of revenue and liability account impacted by the above transaction (item b) at 30 August 2023.
|
Description |
Total |
|
Liability Revenue |
|
|
Liability Revenue |
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