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Question: Journalizing and posting an adjusting entry for unearned revenue Southern Magazine collects cash from subscribers in advance and then mails the magazines to subscribers over a one-year period. Requirements
1. Record the journal entry to record the original receipt of $150,000 cash.
2. Record the adjusting entry that Southern Magazine makes to record earning $9,000 in subscription revenue that was collected in advance.
3. Using T-accounts, post the journal entry and adjusting entry to the accounts involved and show their balances after adjustments. (Ignore the Cash account.)
directions be sure to save an electronic copy of your answer before submitting it to ashworth college for grading.
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