Explanation Unearned income: The income which is received in advance by the company for the services or goods to be delivered in future, is referred to as unearned revenue. Since the revenue is received for the services not yet performed, the revenue is recorded as a liability until the services are performed. After the services are performed, the liability would be reduced and the revenue would be credited. The journal entry for recording unearned income on receipt is: General Journal Page - 1 Date Description Post Ref...

GEN COMBO COLLEGE ACCOUNTING; CONNECT ACCESS CARD

4th Edition

ISBN: 9781260087376

Author: M. David Haddock Jr. Professor

Publisher: McGraw-Hill Education

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Deferred Tax

Deferred tax is an estimated future tax which is made while preparing accounts. It is estimated as a result of past and present transactions in the financial statements. It is not the actual tax which needs to be paid or refundable from the revenue autho…

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Chapter 12, Problem 17DQ

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Explain the method of recording the unearned income on its receipt.

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Chapter 12, Problem 16DQ

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What is referred by unearned income? How is it adjusted in the final accounts?

What is unearned income ,income recived in advance ?

How do defreinciate between a accured income and prepaid income

Chapter 12 Solutions

GEN COMBO COLLEGE ACCOUNTING; CONNECT ACCESS CARD

Ch. 12 - Why is a 10-column worksheet used as part of the...Ch. 12 - Prob. 1.2SRQ Ch. 12 - Prob. 1.3SRQ Ch. 12 - Prob. 1.4SRE Ch. 12 - Prob. 1.5SRE Ch. 12 - Your company prepares financial statements each...Ch. 12 - Prob. 2.1SRQ Ch. 12 - Prob. 2.2SRQ Ch. 12 - The trial balance in the first two columns of the...Ch. 12 - Prob. 2.4SRE

Ch. 12 - Prob. 2.5SRE Ch. 12 - Explain why an error in the amount of an adjusting...Ch. 12 - Why is the accrual basis of accounting favored?Ch. 12 - Prob. 2CSR Ch. 12 - How, if at all, does accrued income differ from...Ch. 12 - Prob. 4CSR Ch. 12 - Prob. 5CSR Ch. 12 - On July 1, 2019, a landlord received 36,000 cash...Ch. 12 - Prob. 1DQ Ch. 12 - Prob. 2DQ Ch. 12 - Income Summary amounts are extended to which...Ch. 12 - Prob. 4DQ Ch. 12 - What types of assets are subject to depreciation?...Ch. 12 - Prob. 6DQ Ch. 12 - What adjustment is made for depreciation on office...Ch. 12 - What is an accrued expense? Give three examples of...Ch. 12 - Prob. 9DQ Ch. 12 - What is a prepaid expense? Give three examples of...Ch. 12 - Prob. 11DQ Ch. 12 - What adjustment is made to record expired...Ch. 12 - What is the alternative method of handling prepaid...Ch. 12 - What is accrued income? Give an example of an item...Ch. 12 - Prob. 15DQ Ch. 12 - Prob. 16DQ Ch. 12 - Prob. 17DQ Ch. 12 - Prob. 18DQ Ch. 12 - Prob. 19DQ Ch. 12 - Prob. 20DQ Ch. 12 - How does the worksheet help the accountant to...Ch. 12 - The beginning inventory of Norcal Wholesalers was...Ch. 12 - Prob. 2E Ch. 12 - Prob. 3E Ch. 12 - Prob. 4E Ch. 12 - Prob. 5E Ch. 12 - Prob. 6E Ch. 12 - For each of the following independent situations,...Ch. 12 - Prob. 1PA Ch. 12 - Prob. 2PA Ch. 12 - Prob. 3PA Ch. 12 - The Green Thumb Gardener is a retail store that...Ch. 12 - Healthy Eating Foods Company is a distributor of...Ch. 12 - The Artisan Wines is a retail store selling...Ch. 12 - Prob. 1PB Ch. 12 - On June 1, 2019, Raquel Ramirez established her...Ch. 12 - Prob. 3PB Ch. 12 - Fun Depot is a retail store that sells toys,...Ch. 12 - Whatnots is a retail seller of cards, novelty...Ch. 12 - The Game Place is a retail store that sells...Ch. 12 - The unadjusted trial balance of Bens Jewelers on...Ch. 12 - Prob. 2CTP Ch. 12 - The president of Murray Stainless Steel...Ch. 12 - Prob. 1FSA

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