Journal entries JE27 based on multiple-choice chapter 1b question 27, 2 points due 1120 The four multiple choice answers of the question below represent four transactions. Please provide the journal entry for each transaction. Please make up the numbers for the journal entries. (27) An event that does not result in the recording of a liability is A. The sale of an automobile for cash by an automobile manufacturer that provides free maintenance for 2 years B. The sale of major league baseball season tickets during the month of January C. The declaration of cash dividends to be paid in 4 weeks D. The purchase of land for common stock when the land is to be stated at more than the par value of the common stock The correct answer is D A. The total cash received for the sale of the automobile relaties partly to the actual sale of the automobile and partly to the 2 year maintenance agreement. The selling entity has no future obligation relating to the sale of the automobile, but an outstanding obligation with regard to the maintenance agreement cannot be fully satisfied before the end of the 2-year period. Thus, a ability must be recorded in connection with the maintenance agreement B. The sale of baseball tickets before the start of the season results in uneamed revenue, which must be recorded as a liability. A liability is recorded to deter recognition of the revenue until the obligation underlying the liability is party or wholly satisfied c. When cash dividends are declared, a liability to the shareholders is created. The dividends must be paid once declared D. Land purchased in exchange for common stock is measured at is readily determinable value, and the common stock is to be recorded at par. Consequently, the excess of the value over the par value is an adjustment to additional paid in capital in excess of par, not a la Liabilities are probable future sacrifices of economic benefits arising from present obligations of a particular entity to transfer assets or provide services to other entises in the trees a uto past transactions or events