Charleswood Musical Theatre’s season begins in November and ends in April, with a different play each month. In October 2021, Charleswood sold 100 season tickets for the 2021–22 season, for $210 each. Charleswood records all season ticket sales as unearned revenue and adjusts its accounts on a monthly basis. The company has a March 31 fiscal year end.

Instructions

a. Prepare the entry for sale of the season tickets. Date the entry October 31.

b. Prepare any required adjusting entries on:

1. November 30, 2021

2. March 31, 2022

3. April 30, 2022

c. Determine the balance (after any required adjustments) in Unearned Revenue on:

1. November 30, 2021

2. December 31, 2021

3. March 31, 2022