Jerry’s Jellies sells one- and two-year mail-order subscriptions for its jelly-of-the-month business. Subscriptions are collected in advance and credited to sales. An analysis of the recorded sales activity revealed the following:

Required:
What amount of unearned subscription revenue should Jerry's Jellies report on its December 31, 2014, balance sheet?

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Sales Less cancellations Net sales Subscription expirations 2013 $520,000 10,000) $510.000 2014 $650,000 $620,000 (30,000) 2013 2014 2015 2016 $230,000 195.000 85,000 $190,000 250,000 180,000 $620,000 $510,000