F a company has advance ticket sales totaling $2,000,000 for the upcoming football season, the receipt of cash would be journalized as:

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Business

Jaylah Petersen

4 May, 17:05

F a company has advance ticket sales totaling $2,000,000 for the upcoming football season, the receipt of cash would be journalized as:

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Micah Macdonald · Answer 1

The receipt of cash would be journalized as:

debit cash $2000000

credit unearned revenue $2000000

cash is on the debit side because you receive the money, so the asset will go up.

unearned revenue is on the credit side because when you use this account title it means that it reports something amounts received in advance though there is no service rendered yet.