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The Marigold, Inc. sold 9,310 season tickets at $1,940 each. By December 31, 2017, 16 of...

The Marigold, Inc. sold 9,310 season tickets at $1,940 each. By December 31, 2017, 16 of the 40 home games had been played. What amount should be reported as a current liability at December 31, 2017?

Current liability
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Answer #1
Marigold Inc.
Number of ticket sold=(A) 9310
Selling Price per ticket=(B) $             1,940.00
Total Selling Price=(C )=(A)*(B) $ 1,80,61,400.00
Revene Earnied during the year=(16/40)*(C ) $     72,24,560.00
Unearned Revenue=((40-16)/40)*(C ) $ 1,08,36,840.00
Unearned Revenue should be reported in the balance sheet on 31st December,2017 as a current liability.
Unearned revenue is the revenue received in advance for services.It should be reported as current liability in the balance sheet.
Balance Sheet(Partial)
Current Liability
Unearned Revenue $ 1,08,36,840.00
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