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Magazines Galore Receives Subscription Money in Advance, and Has Received

Question 37

Multiple Choice

Magazines Galore receives subscription money in advance, and has received $50,000 from customers on 1 February to cover the next ten issues of Wheels Galore. There are ten issues a year - one at the end of each month except for January and December. What are the appropriate accounting entries to record the receipt of the subscription money and (assuming no monthly entries have been made) the adjusting entry at 30 June (after June's issue has been mailed to subscribers) ?


A) Magazines Galore receives subscription money in advance, and has received $50,000 from customers on 1 February to cover the next ten issues of Wheels Galore. There are ten issues a year - one at the end of each month except for January and December. What are the appropriate accounting entries to record the receipt of the subscription money and (assuming no monthly entries have been made) the adjusting entry at 30 June (after June's issue has been mailed to subscribers) ? A) B) C) D) E) None of the given answers.
B) Magazines Galore receives subscription money in advance, and has received $50,000 from customers on 1 February to cover the next ten issues of Wheels Galore. There are ten issues a year - one at the end of each month except for January and December. What are the appropriate accounting entries to record the receipt of the subscription money and (assuming no monthly entries have been made) the adjusting entry at 30 June (after June's issue has been mailed to subscribers) ? A) B) C) D) E) None of the given answers.
C) Magazines Galore receives subscription money in advance, and has received $50,000 from customers on 1 February to cover the next ten issues of Wheels Galore. There are ten issues a year - one at the end of each month except for January and December. What are the appropriate accounting entries to record the receipt of the subscription money and (assuming no monthly entries have been made) the adjusting entry at 30 June (after June's issue has been mailed to subscribers) ? A) B) C) D) E) None of the given answers.
D) Magazines Galore receives subscription money in advance, and has received $50,000 from customers on 1 February to cover the next ten issues of Wheels Galore. There are ten issues a year - one at the end of each month except for January and December. What are the appropriate accounting entries to record the receipt of the subscription money and (assuming no monthly entries have been made) the adjusting entry at 30 June (after June's issue has been mailed to subscribers) ? A) B) C) D) E) None of the given answers.
E) None of the given answers.

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