Up Away Airlines has provided the following information regarding cash received for ticket sales in September and October Cash received in September for October ights $500,000 Cash received in October for October ights 300,000 Cash received in October for November ights 400,000 Apply the realization principle to determine how much revenue Up Away Airlines should report in its October income statement

Question: Up & Away Airlines has provided the following information regarding cash received for ticket sales in September and October: Cash received in September for October

Up & Away Airlines has provided the following information regarding cash received for ticket sales in September and October:
Cash received in September for October ﬂights............$500,000
Cash received in October for October ﬂights............300,000
Cash received in October for November ﬂights...........400,000
Apply the realization principle to determine how much revenue Up & Away Airlines should report in its October income statement.

Step by Step Solution

★★★★★

3.45 Rating (171 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

Revenue is recognized when it is earned not necessarily ... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

290-B-A-A-C (3350).docx

120 KBs Word File

Students Have Also Explored These Related Accounting Questions!

Sky Bound Airlines has provided the following information regarding cash received f or ticket sales in September and October: Cash received in September for October...

Wilson Consulting has provided the following information regarding cash payments to its employees in May and June: Salary payments in May for work performed by employees in April........$ 8,000...

The Outsider Company, Inc. provided the following information regarding its inventory for the year ended December 31, 2015. It made all of the purchases before any sales transactions for the year....

Meadow Lake Groceries has two employees who are paid semimonthly. Calculate deductions like CPP and Income Tax and Net pay for each employee. Consider tax rate as 20%. 8 marks Employee Gross Pay...

Sky Bound Airlines has provided the following information regarding cash received for ticket sales in September and October. Cash received in September for October flights $1,700,000 Cash received in...

Realization Principle Sky Bound Airlines has provided the following information regarding cash received for ticket sales in September and October: Cash received in September for October flights...

Sky Bound Airlines has provided the following information regarding cash received for ticket sales in September and October. Cash received in September for October flights $ 1 , 7 0 0 , 0 0 0 Cash...

homewok chapter 3 ework chapter 3 6 Help Save & Exit Subm Check my work 5 Sky Bound Airlines has provided the following information regarding cash receved for tick Cash received in September for...

pa answer po sir/maam 1 to 5 po EXERCISES 1 . GMA Radio received P600,000 cash from Breeze Company on May 1 for twelve June and July. advertisements (good for thirty seconds each) spread evenly...

please answer all the questions thankyou 1. The Philippine Airlines has provided the following information regarding ticket sales and collections from September to November: Cash received in...

Explain the difference between brand responses that involve thinking and feeling.

Question 1 Calculations and Fill in the Blank Auditing standards require the auditor to assess the risk of material misstatement at the overall financial statement level and at the assertion level...

The rate of growth of the population N ( t ) of a new city t years after its incorporation is estimated to be d N d t = 3 0 0 9 0 0 t 2 where 0 t 9 . If the population was 1 , 0 0 0 at the time of...

The alternating current in the secondary coil of a transformer is induced by a. the varying electric field of the primary coil b. the varying magnetic field of the primary coil c. the varying...

Describe the highlow method.

Describe the meaning of the term Big Data.

Robbins Company is a wholesale distributor of professional equipment and supplies. The companys sales have averaged about $900,000 annually for the 3-year period 20202022. The firms total assets at...

On July 1, 2022, Torvill Construction Company Inc. contracted to build an office building for Gumbel Corp. for a total contract price of $1,900,000. On July 1, Torvill estimated that it would take...

What response might be made to someone who says that HRM is unrealistic, immoral or both?

Listed below are descriptions of six transactions, followed by a table listing six unique combinations of financial statement effects (I is for increase, D is for decrease, and NE is for no effect)....

Throughout this text, we have many assignments based on the financial statements of Home Depot, Inc., in Appendix A. Refer to the financial statements to respond to the following items: a. Does the...

Which is smallest? a . . 0 8 b . . 0 8 c . 0 0 8 d . . 8 0

KRJ International just reported earnings before taxes of $100,000 and tax expense of $30,000, leaving net income of $70,000. During the year it sold a warehouse with a net book value of $6,640 for...

(Calculating financial ratios) Use the balance sheet and income statement for the J. P. Robard Mfg. Company to calculate the following ratios: Current ratio (Round to two decimal places.) Times...