For each of the following transactions, if revenue is to be


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For each of the following transactions, if revenue is to be recognized in September, indicate the revenue account title and amount. If revenue is not to be recognized in September, explain why. The following transactions occurred in September 2016: A popular ski magazine company receives a total of $12,345 today from subscribers. The subscriptions begin in the next fiscal year. Answer from the magazine company’s standpoint. Hyundai, Inc., sells a truck with a list, or “sticker,” price of $20,050 for $19,500 cash. Macy’s department store orders 1,000 men’s shirts for $15 each for future delivery from Phillips-Van Heusen Corporation. The terms require payment in full within 30 days of delivery. Answer from Phillips-Van Heusen’s standpoint. A customer       purchases a ticket from American Airlines for $780 cash to travel the       following January. Answer from American Airlines’s standpoint. Ford Motor Company issues $15 million in new capital stock. Precision Builders signs a contract with a customer for the construction of a new $1,500,000 warehouse. At the signing, Precision receives a check for $200,000 as a deposit on the future construction. Answer from Precision’s standpoint. A customer orders and receives 10 personal computers from Dell; the customer promises to pay $9,600 within three months. Answer from Dell’s standpoint. Sears, a retail store, sells a $300 lamp to a customer who charges the sale on his store credit card. Answer from Sears’s standpoint. ATTACHMENT PREVIEW Download attachment 10 pages Assignment No.2.docx Assignment #2 Solve all the questions below and upload your answers by the due date and time indicated y syllabus. Good luck. Question #1 For each of the following transactions, if revenue is to be recognized in September, indicate the revenue account title and amount. If revenue is not to be recognized in September, explain why. The following transactions occurred in September 2016: 1. A popular ski magazine company receives a total of $12,345 today from subscribers. The subscriptions begin in the next fiscal year. Answer from the magazine company’s standpoint. 2. Hyundai, Inc., sells a truck with a list, or “sticker,” price of $20,050 for $19,500 cash. 3. Macy’s department store orders 1,000 men’s shirts for $15 each for future delivery from Phillips-Van Heusen Corporation. The terms require payment in full within 30 days of delivery. Answer from Phillips-Van Heusen’s standpoint. 4. A customer purchases a ticket from American Airlines for $780 cash to travel the following January. Answer from American Airlines’s standpoint. 5. Ford Motor Company issues $15 million in new capital stock. 6. Precision Builders signs a contract with a customer for the construction of a new $1,500,000 warehouse. At the signing, Precision receives a check for $200,000 as a deposit on the future construction. Answer from Precision’s standpoint. 7. A customer orders and receives 10 personal computers from Dell; the customer promises to pay $9,600 within three months. Answer from Dell’s standpoint. 8. Sears, a retail store, sells a $300 lamp to a customer who charges the sale on his store credit card. Answer from Sears’s standpoint. Solution of Question #1 Activity 1. 2. 3. 4. 5. 6. 7. 8. Revenue Account Affected Amount of Revenue Earned in September Question #2 For each of the transactions, if an expense is to be recognized in January, indicate the expense account title and the amount. If an expense is not to be recognized in January, indicate why. The following transactions occurred in January 2016: 1. McGraw-Hill Education uses $3,800 worth of electricity and natural gas in its headquarters building for which it has not yet been billed. 2. At the beginning of January, Turner Construction Company pays $963 for magazine advertising to run in monthly publications each of the first three months of the year. 3…

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