recording entry - accounting

Accounting
Tutor: None Selected Time limit: 1 Day

Derby University sells 4,400 season basketball tickets at $280 each for its 11-game home schedule.

Give the entry to record (a) the sale of the season tickets and (b) the revenue recognized by playing the first home game.

Apr 22nd, 2015

(a)Dr. Cash $12,32000
    Cr. Unearned basketball ticket revenue $12,32000
    (To record sale of 4,400 season tickets) 

(b)$12,32000 / 11 = $1,12,000
   Dr. Unearned basketball ticket revenue $1,12,000
   Cr. Basketball ticket revenue $1,12,000

Apr 22nd, 2015

Thank you so much! 

Apr 22nd, 2015

u welcome

Apr 22nd, 2015

A)Beth's pay for the period is: 

(40 X $22) + (10 X $33) = $1210

Entries (based on the facts given) would be: 

Debit Salary Expense $1210
Debit FICA Expense $92.57 (Employer's portion calculated as $1210 X 7.65%) 
Credit Payroll Taxes Payable $189.57
Credit Salaries Payable $1113

The entries under B would then be: 

Debit Payroll Taxes Payable $189.57 
Debit Salaries Payable $1113
Credit Cash $1302.57

Hope u will be happy

Apr 22nd, 2015

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