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30 May, 10:35

On November 3, the Milwaukee Bucks sold a six game pack of advance tickets for $300 cash. On November 20, the Bucks played the first game of the six game pack (this represented one-sixth of the advance ticket sales). Record the entries for the November 3 and November 20 transactions.

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  1. 30 May, 14:01
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    The journal entries are as follows:

    On November 3

    Cash A/c Dr $300

    To Unearned ticket revenue A/c $300

    (Being the unearned ticket revenue is recorded)

    On November 20

    Unearned ticket revenue A/c Dr $50

    To Ticket revenue A/c $50

    (Being the adjusting entry is recorded)

    The computation is shown below:

    = $300 : 6

    = $50
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