Cinema King sells subscriptions for $36 for 18 months. The company collects cash in advance and then subscribers have access to unlimited movies each month. Apply the revenue recognition principle to determine a. when Cinema King should record revenue for this situation. b. the amount of revenue Cinema King should record for nine months. a. Cinema King should record revenue when the customer. b. For nine months, Cinema King should record revenue of
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- Lake View Magazine sells subscriptions for $72 for 18 issues. The company collects cash in advance and then mails out the magazines to subscribers each month. Apply the revenue recognition principle to determine a. when Lake View Magazine should record revenue for this situation. b. the amount of revenue Lake View Magazine should record for eight issues. a. Lake View Magazine should record revenue when b. For eight issues, Lake View Magazine should record revenue of the subscribers.Movie Madness sells subscriptions for $144 for 36 months. The company collects cash in advance and then subscribers have access to unlimited movies each month. Apply the revenue recognition principle to determine a. when Movie Madness should record revenue for this situation. b. the amount of revenue Movie Madness should record for two months. a. Movie Madness should record revenue when v the customer. b. For two months, Movie Madness should record revenue ofApplying the revenue recognition principle Seacoast Magazine sells subscriptions for $36 for 18 issues. The company collects cash in advance and then mails out the magazines to subscribers each month. Apply the revenue recognition principle to determine a. when Seacoast Magazine should record revenue for this situation. b. the amount of revenue Seacoast Magazine should record for eight issues.
- If a customer owed your company $100 on the first day of the month, then purchased $200 of goods on credit on the fifth and paid you $50 on fifteenth, the customers ending balance for the month would show a (debit or credit) of how much?Question involving Revenue Recognition: How much revenue should be recognized by the following Company, in each of the month's of March, April, May, June, July, August, and September? A company pre-sells services to be performed from May through September, inclusive. If payment is made in full by April 1, a 4% discount is allowed. In March, 245 customers took advantage of the discount and purchased the services for $650 each. In June, 220 customers purchased the services for $785, and in July, 95 purchased it for the same price. For the customers who pay after May 1, services start in the month the customer makes the payment. Please explain for each month. Months $ March April May June July August SeptemberQuestion: How much is her EBITDA at the end of the first month? We are at the end of the first month of her operations. She sold one half of her CDs sbought at the beginning to satisfy her customers. Individual customers paid in cash, but she also sold some CDs to disco clubs and these customers received invoices, which are due in two months. The table below summarizes her revenues in the first month: individual customers USD 90 000 disco club 1 USD 40 000 disco club 2 USD 50 000 At the end of the month Mrs. Hiphop paid in cash a rent (USD 25 000), bank loan interest (USD 1000) and her salary (USD 30 000) - everything paid and used during the first month. She has also received an invoice for utilities used during the first month (USD 2 000), which will be paid in 30 days. Equipment is depreciated using straight line method for 20 months starting from the first month (now). During the first month she…
- In December, Northern Kiteboarding magazine collected $80,000 for subscriptions for the next calendar year. The company collects cash in advance and then downloads the magazines to subscribers each month Apply the recognition criteria for revenues to determine (a) when the company should record revenue for this situation and (b) the amount of revenue the company should record for the January through March downloads a Northern Kiteboarding should record revenue after b. The amount of revenue equals nof whenFind the new balance at the end of the billing cycle using the average daily balance method. Assume one month between billing dates and find the finance charge using an 18% annual rate. Billing date: October 5 with a balance of $550.77 October 5: Plane ticket $405.98 October 12: Payment $350.00 October 30: Halloween costume rental $ 45.00Blue Corp rents out fishing tools. The company requires a returnable deposit with each rental service. During May, the company collected $9,000 customer deposits. The amount of deposit forfeiture 10% of the total deposits. Which one of the following journal entries is correct to record deposit forfeiture? Debit Returnable deposit $900; Credit Cash $900 O Debit Returnable deposit $900; Credit Sales revenue $900 Debit Cash $450; Credit Returnable deposit $450 Debit Cash $900; Credit Returnable deposit $900
- a. Record Navis, Incorporated's sales for a month at $75,000. The items sold cost $62,500. Navis records sales at the total invoice amount. b. Record the return of $7,500 of the above sales within the 30-day return period. c. Record the receipt of payment on the remainder of the month's sales, assuming that customers purchasing $50,000 took advantage of a 2 percent cash discount for early payment. None of the customers taking advantage of the cash discount were among those that returned their purchases. Complete this question by entering your answers in the tabs below. Required A Required B Required C Record the receipt of payment on the remainder of the month's sales, assuming that customers purchasing $50,000 took advantage of a 2 percent cash discount for early payment. None of the customers taking advantage of the cash discount were among those that returned their purchases. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first…Bell provides $500 of services to customers on account with terms 3/10, n/30. The Service Revenue account is credited for $500. If the customer pays within 10 days, Bell will record which of the following? O Debit Service Revenue $500 O Credit Cash $500 O Credit Sales Discount $50 O Debit Sales Discount $15Assume that you start with a balance of $610 on your credit card.During the first month you charge $180 and make a payment of $400. During the second month you charge $100 and make a payment of $280. Assume that your credit card charges a 24% APR. Complete the following take table. Round your answer to the nearest cent. Table 1 month- Previous balance- Finance charge- Purchase- Payments- New balance 2 month- Previous balance- Finance charge- Purchase- Payments- New balance You have a credit card with an APR of 28%. The minimum amount payment is 12% of the balance. Suppose you have a balance of $1050. You decide to stop charging and make only the minimum payment. Complete the table. Round your answers to the nearest cent Table 1 month- Previous balance- Finance charge- Purchase- Payments- New balance 2 month- Previous balance- Finance charge- Purchase- Payments- New balance