(a) Introduction: If the amount has been earned but the services are yet to be rendered or goods are yet to be delivered then the company records the revenue as unearned. To show: Journal entry for deposit and its affect in financial statement at 2019 year end.
(a) Introduction: If the amount has been earned but the services are yet to be rendered or goods are yet to be delivered then the company records the revenue as unearned. To show: Journal entry for deposit and its affect in financial statement at 2019 year end.
Solution Summary: The author explains that if the amount has been earned, but the services are yet to be rendered, the company records the revenue as unearned.
Definition Definition Method of recording financial transactions in the book of original entry by debiting and crediting the accounts affected by a transaction using the golden rules of accrual accounting.
Chapter 8, Problem 78BPSB
To determine
(a)
Introduction:
If the amount has been earned but the services are yet to be rendered or goods are yet to be delivered then the company records the revenue as unearned.
To show:
Journal entry for deposit and its affect in financial statement at 2019 year end.
To determine
(b)
Introduction:
If the amount has been earned but the services are yet to be rendered or goods are yet to be delivered then the company records the revenue as unearned.
To show:
Journal Entry for delivery of 175 units and its effect of on financial statement.
To determine
(c)
Introduction:
If the amount has been earned but the services are yet to be rendered or goods are yet to be delivered then the company records the revenue as unearned.
To show:
Journal Entry for delivery of 325 units and its effect of on financial statement.
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