Valenti Company Ltd. publishes a monthly sports magazine, Fishing Preview . Subscriptions to the…


Question Description:

30

Valenti Company Ltd. publishes a monthly sports magazine, Fishing Preview. Subscriptions to the magazine cost $28per year. During November 2014, Valenti sells6,300subscriptions for cash, beginning with the December issue. Valenti prepares financial statements quarterly and recognizes subscription revenue at the end of the quarter. The company uses the accounts Unearned Subscription Revenue and Subscription Revenue. The company has a December 31 year-end.

Answer

30