The Einstein Cable Company collects all service revenue in advance. Einstein showed a $16,825 liability on its June 30, 2010, balance sheet for unearned service revenue. During the following fiscal year, customers paid $85,000 for future services, and the income statement for the year ended June 30, 2011, reported service revenue of $75,850. What amount for the liability unearned service revenue will appear on the balance sheet at June 30, 2011?
Answer to relevant QuestionsThe Muzby Pet Grooming Company purchased a computer on December 31, 2012, and gave a four-month, 7% note with a face value of $6,000. On maturity, April 30, 2013, the note plus interest will be paid to the bank. Fill in the ...Trin’s Freight purchased a new shipping truck on August 1, 2008, for $27,000. The truck is estimated to last for six years and will then be sold, at which time it should be worth nothing. The company uses straight-line ...Analyze the transactions for Information Resource Services, Inc., that appear in the worksheet on the following page and explain the transaction or event that resulted in eachentry.The Gladiator Sports Company has the following account balances at the end of the year before any adjustments have been made:Prepaid insurance ...... $9,000Unearned revenue ....... 5,300Wages expense ........ 7,590Taxes ...Following is a partial list of financial statement items from the records of Starnes Company at December 31, 2012, before adjustments:Prepaid rent ......... $20,000Prepaid insurance ........ 12,000Service revenue ...
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