Season tickets for the Dingos are priced at $320 and include 16 home games. An equal amount of revenue is recognized after each game is played. When the season began, the amount credited to Unearned Ticket Revenue was $1,952,000. By the end of October, $1,342,000 of the Unearned Ticket Revenue had been recognized as revenue.
How many season tickets did the Dingos sell?
Season tickets sold by Dingos
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How many home games had the Dingos played by the end of
October?
Home games played by Dingos
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Prepare the entry for the initial recording of the Unearned
Ticket Revenue. (Credit account titles are automatically indented
when amount is entered. Do not indent manually.)
Account Titles and Explanation
Debit
Credit
enter an account title
enter a debit amount
enter a credit amount
enter an account title
enter a debit amount
enter a credit amount
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Prepare the entry to recognize the revenue after the first home
game had been played. (Credit account titles are automatically
indented when amount is entered. Do not indent manually.)
Account Titles and Explanation
Debit
Credit
enter an account title
enter a debit amount
enter a credit amount
enter an account title
enter a debit amount
enter a credit amount
| 1) | Season ticket sold by Dingos | ||||||||
| 1,952,000/320 | |||||||||
| 6100 | tickets | ||||||||
| b) | home games played by Dingos | ||||||||
| 1,952,000/16= | 122000 | revenue recognised per home game | |||||||
| 1,342,000/122,000= | 11 | home games already played | |||||||
| c) | Account titles & explanations | Debit | Credit | ||||||
| cash | 1,952,000 | ||||||||
| unearned ticket revenue | 1,952,000 | ||||||||
| d) | Account titles & explanations | Debit | Credit | ||||||
| unearned ticket revenue | 122,000 | ||||||||
| Ticket revenue | 122,000 | ||||||||
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