Steps for

On July $1,2027,$ Tamarisk Co$.$ pays $$14,632$ to Carla Vista Insurance Co$.$ for a $2-$year insurance contract. Both companies have fiscal

years ending December $31.$

Your answer is correct.

Journalize the entry on July $1$ and the annual adjusting entry on December $31$ for Carla Vista Insurance Co$.$ Carla Vista uses the

accounts Unearned Service Revenue and Service Revenue. $($Record journal entries in the order presented in the problem.

Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit

entries before credit entries.$)$

les and Explanation

Debit

Credit

Service Revenue

ervice Revenue

venue

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Post the July $1$ and the annual adjusting entry on December $31$ for Carla Vista Insurance Co$.($Post entries in the order of

journal entries presented in the previous part.$)$

Unearned Service Revenue

Service Revenue

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eTextbook

List of Accounts