Question: Required information E10-6 (Static) Determining and Recording the Financial Statement Effects of Deferred Revenue [LO 10-2] [The following information applies to the questions displayed below]
Required information E10-6 (Static) Determining and Recording the Financial Statement Effects of Deferred Revenue [LO 10-2] [The following information applies to the questions displayed below] The Tennis Times (TTT) is a publisher of magazines. Its accounting policy for subscriptions follows: Revenues Revenues from our magazine subscription services are deferred initially and later recognized as revenue as subscription services are provided. Assume TTT (a) collected $420 million in 2021 for magazines that will be distributed later in 2021 and 2022, (b) provided $204 million of services on these subscriptions in 2021, and (c) provided $216 million of services on these subscriptions in 2022 E10-6 (Static) Part 1 Required: 1. Using the information given, indicate the accounts, amounts, and accounting equation effects of transactions (a), (b), and (c). (Enter any decreases to assets, liabilities, or stockholders equity with a minus sign. Enter your answers in whole dollars.)
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