Time left T:08:0On March 1, 2020, Zuhoor Muscat Company received RO 24,000 for services to be provided equallyover 6 months period starting March. The necessary adjusting entry to be prepared on July 31, 2020,will include:O a.Credit to Unearned revenue RO 24,000.O b. Debit to Cash RO 20,000.O c. Debit to Unearned Revenue RO 20,000,d. Credit to Service Revenue RO 16,000.e.None of the options are correct.NEXT PAGIre to search

Revenue earned on July 31, 2020 = Total amount received / no. of months = 24000 / 6 months = RO 4000…

On March 1, 2020, Zuhoor Muscat Company received RO 24,000 for services to be provided equally over 6 months period starting March. The necessary adjusting entry to be prepared on July 31, 2020, will include: a. Credit to Unearned revenue RO 24,00O. O b. Debit to Cash RO 20,000. O c. Debit to Unearned Revenue RO 20,000. d. Credit to Service Revenue RO 16,000. O e. None of the options are correct.

On March 1, 2020, Zuhoor Muscat Company received RO 24,000 for services to be provided equally over 6 months period starting March. The necessary adjusting entry to be prepared on July 31, 2020, will include: a. Credit to Unearned revenue RO 24,00O. O b. Debit to Cash RO 20,000. O c. Debit to Unearned Revenue RO 20,000. d. Credit to Service Revenue RO 16,000. O e. None of the options are correct.

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter3: Accrual Accounting

Section: Chapter Questions

Problem 32BE: Brief Exercise 3-32 Adjusting Entries-Deferrals Tyndal Company had the following items that required...

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Adjustments for unearned and accrued fees The balance in the unearned fees account, before adjustment at the end of the year, is $900,000. Of these fees, $775,000 have been earned. In addition, $289,500 of fees have been earned hut not hilled to clients. What are the adjustments (a) to adjust the unearned fees account and (h) to record the accrued fees? Indicate each account affected, whether the account is increased or decreased, and the amount of the increase or decrease.
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Which transaction would require adjustment at December 31? a. The sale of merchandise for cash on December 30. b. Common stock was issued on November 30. c. Salaries were paid to employees on December 31 for work performed in December. d. A I-year insurance policy (which took effect immediately) was purchased on December 1.
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The unadjusted trial balance of PS Music as of July 31, 2018, along with the adjustment data for the two months ended July 31, 2018, are shown in Chapter 3. Based upon the adjustment data, the following adjusted trial balance was prepared: PS Music Adjusted Trial Balance July 31, 2018 Account No. Debit Balances Credit Balances Cash................................................. 11 9,945 Accounts Receivable................................... 12 4,150 Supplies.............................................. 14 275 Prepaid Insurance..................................... 15 2,475 Office Equipment..................................... 17 7,500 Accumulated DepreciationOffice Equipment.......... 18 50 Accounts Payable..................................... 21 8,350 Wages Payable........................................ 22 140 Unearned Revenue.................................... 23 3,600 Common Stock....................................... 31 9,000 Dividends............................................ 33 1,750 Fees Earned........................................... 41 21,200 Music Expense........................................ 54 3,610 Wages Expense....................................... 50 2,940 Office Rent Expense................................... 51 2,550 Advertising Expense................................... 55 1,500 Equipment Rent Expense.............................. 52 1,375 Utilities Expense...................................... 53 1,215 Supplies Expense...................................... 56 925 Insurance Expense.................................... 57 225 Depreciation Expense................................. 58 50 Miscellaneous Expense................................ 59 1,855 42,340 42,340 Instructions 1. (Optional) Using the data from Chapter 3, prepare an end-of-period spreadsheet. 2. Prepare an income statement, a retained earnings statement, and a balance sheet. 3. Journalize and post the closing entries. The retained earnings account is #33 and the income summary account is #34 in the ledger of PS Music. Indicate closed accounts by inserting a line in both Balance columns opposite the closing entry. 4. Prepare a post-dosing trial balance.
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