Solved

Magazines Galore Receives Subscription Money in Advance,and Has Received $50,000

Question 26

Multiple Choice

Magazines Galore receives subscription money in advance,and has received $50,000 from customers on 1 February to cover the next ten issues of Wheels Galore.There are ten issues a year - one at the end of each month except for January and December.What are the appropriate accounting entries to record the receipt of the subscription money and (assuming no monthly entries have been made) the adjusting entry at 30 June (after June's issue has been mailed to subscribers) ?


A) Magazines Galore receives subscription money in advance,and has received $50,000 from customers on 1 February to cover the next ten issues of Wheels Galore.There are ten issues a year - one at the end of each month except for January and December.What are the appropriate accounting entries to record the receipt of the subscription money and (assuming no monthly entries have been made) the adjusting entry at 30 June (after June's issue has been mailed to subscribers) ? A) B) C) D) E) None of the given answers.
B) Magazines Galore receives subscription money in advance,and has received $50,000 from customers on 1 February to cover the next ten issues of Wheels Galore.There are ten issues a year - one at the end of each month except for January and December.What are the appropriate accounting entries to record the receipt of the subscription money and (assuming no monthly entries have been made) the adjusting entry at 30 June (after June's issue has been mailed to subscribers) ? A) B) C) D) E) None of the given answers.
C) Magazines Galore receives subscription money in advance,and has received $50,000 from customers on 1 February to cover the next ten issues of Wheels Galore.There are ten issues a year - one at the end of each month except for January and December.What are the appropriate accounting entries to record the receipt of the subscription money and (assuming no monthly entries have been made) the adjusting entry at 30 June (after June's issue has been mailed to subscribers) ? A) B) C) D) E) None of the given answers.
D) Magazines Galore receives subscription money in advance,and has received $50,000 from customers on 1 February to cover the next ten issues of Wheels Galore.There are ten issues a year - one at the end of each month except for January and December.What are the appropriate accounting entries to record the receipt of the subscription money and (assuming no monthly entries have been made) the adjusting entry at 30 June (after June's issue has been mailed to subscribers) ? A) B) C) D) E) None of the given answers.
E) None of the given answers.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q21: Daniel Ltd sells one of its properties

Q22: When goods are sold 'free on board'

Q23: In the situation that a debtor becomes

Q24: The following is a diagram of the

Q25: SAC 4 previously outlined tests that may

Q27: Vettori Ltd has the following information from

Q28: The general rule under modified historical-cost accounting

Q29: There are various appropriate accounting treatments when

Q30: On 1 July 2003 Bigwell Ltd sells

Q31: The following is a diagram of the

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents