EBK HORNGREN'S ACCOUNTING
12th Edition
ISBN: 9780134491523
Author: Matsumura
Publisher: YUZU
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Textbook Question
Chapter 11, Problem E11.16E
Recording and reporting current liabilities
Learning Objective 1
Dec. 31 Subscription Revenue $80
Watson Publishing completed the following transactions during 2018:
Oct. 1 | Sold a six-month subscription (starting on November 1), collecting cash of $240, plus sales tax of 8%. |
Nov. 15 | Remitted (paid) the sales tax to the state of Tennessee. |
Dec. 31 | Made the necessary adjustment at year-end to record the amount of subscription revenue earned during the year. |
Journalize the transactions (explanations are not required). Round to the nearest dollar.
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Chapter 11 Solutions
EBK HORNGREN'S ACCOUNTING
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