Set up T accounts for Cash, Unearned Ticket Revenue, and T
Question and Solution
Set up T accounts for Cash, Unearned Ticket Revenue, and Ticket Revenue. Post the following two transactions to the appropriate accounts, indicating each transaction by letter: (a) Sold 1,500 season tickets at $30 each, receiving cash of $45,000. (b) An end-of-period adjustment is needed to recognize that $35,000 in ticket revenue has been earned.